Chapter 11.7, Problem 11.99ACI

Management research In Africa. The editors of the Academy of Management Journal (April 2016) called for expanding management-related research of African countries by noting the diversity of the countries. They illustrated this diversity by comparing a sample of 10 African countries with China. Germany. and the United States on several variables. The three variables shown in the table (top of next column) are Gross Domestic Product (GOP) per capita, degree of freedom in political rights (measured on a 7-point scale, where “1” indicates the greatest degree and “7” the smallest degree). and level of government corruption (measured on a 100-point scale, where “0” indicates the highest level of corruption and “100” indicates the country is free of corruption). Consider a model for corruption level (y) of a country.

1. a. Conduct a complete simple linear regression analysis to evaluate GOP per capita (x) as a linear predictor of corruption level (y).
2. b. Conduct a complete simple linear regression analysis to evaluate degree of freedom in political rights (x) as a linear predictor of corruption level (y).
3. c. Based on the results, parts a and b, what inferences can you make about the nature of the relationship each x has with corruption level (y)?