IRT Assignment of

Basic Stata Course

Submitted By:
1. Abdullah Al Masud, Lecturer, Southeast
Business School
2. Md. Golam Ramij, Lecturer, Southeast Business
School
3. Rajib Kumar Das, Lecturer, Southeast Business
School
1.1 Find the average age of the respondent and also categorize them into three category
which are young (below 31). Middle aged 31-50, Old (above 50) and also calculate the
average age of these three groups
Findings: there were26.05 % respondents whose age were below 31 and 63.03% middle aged
respondents whose age were in between 30-50 and finally there were 10.92% old respondents whose
age were more than 50. The average of the young respondent was 26.70 and the average age of the
middle aged respondents was 40.066% and finally the average age of old persons was 56.84%.

So from the above discussion we can say that most of the respondents were middle aged.

1.2 Find the frequency and percentage of the respondents who had year’s primary level of
education.

Findings: majority of the respondents had only primary and below primary level of education and the
percentage is 60.50% in number it was 72 out of 119 respondents. On the other hand 47 people out of
119 respondents who comprises 47% had more than primary level of education.

1.3 Find the total income, minimum, income, maximum income and average income of the
respondents
Findings: from our analysis the average income of the respondents is tk. 47,117.65 and lowest income
level of the respondents was tk. 20,000 and the highest income among 119 respondents was tk. 95,000.

2.1 Find the average income of male and female respondents.

Findings: the average income of the male respondents (gender 1) was tk.47638 and male repondents
had higher income which was tk. 95,000. Males respondents lowest income was tk. 20000 only.

On the other hand female respondents (gender 2) average income was tk. 46,319.15 and there highest
income was also tk. 90,000 and lowest income was 20,000.

So that from the above discussion it can be said that female respondents average income is lower than
the male respondents.

2.2 Test whether the mean income of the males is significantly higher than females:

Group 1: Male

Group 2: Female
No, male income is not significantly different from female income

3. Question: Assess the opinions of the respondents about their economic well-being under
the credit program. Find the impact of credit and other socioeconomic variables on the
economic well-being of the respondents under the credit program. Assume that economic
well-being is dichotomous in nature.

Solution:

None of the variables are significant, so probabilities are not measured.

goodness of fit

P-value is more than 0.05. It suggests logit model can be run.

Classification Test
4. Question: Determine the impact of credit and other socioeconomic variables on the food
expenditure of the respondents and also interpret the results

Food expenditure is significantly associated

 Negatively with No. of Loans taken from Money Lenders

 Negatively with Distance to Market
 Positively with No. of Asset
Multicollinearity Test
No multicollinearity problem

Normality Test

Shapiro wilk test assumes null hypothesis of normality. Since p-value is less than 5%, null hypothesis of
normality is rejected. So data set is not normally distributed.

Heteroskedasticity Test

Problem of Heteroskedasticity exists as null hypothesis of constant variance is rejected at 5% level.