FOREIGN TRADE UNIVERSITY FACULTY OF ECONOMICS & INTERNATIONAL BUSINESS -○○○ - ECONOMETRICS REPORT FACTORS AFFECTING THE INTELLIGENCE QUOTIENT (IQ) INDEX OF FTU'S STUDENTS Group:14 Class: KTEE218.1 Lecturers: MSc.Quynh Thuy Nguyen MSc Phuong Mai Vu Thi GROUP MEMBERS Nguyen Thi Thuy Tram -1814450067 Nguyen Thi Hue - 1816450042 Tran Thi Thuy Dung - 1814450022 Hoang Thu Thuy -1814450066 Karan Singh - 1890190113 Ha Noi, September 2019 Table of content Table of content ABSTRACT INTRODUCTION SECTION 1: OVERVIEW OF THE TOPIC 1.1 Intelligence Quotient Index and related terms 1.2 Theoretical Background SECTION 2: MODEL SPECIFICATION 11 2.1 Methodology in the study 11 2.1.1 Method to derive the model 11 2.1.2 Method to collect and analyze the data 11 2.1.2.1 Method to collect the data 11 2.1.2.2 Method to analyze the data 11 2.2 Theoretical model specification 11 2.2.1 Specification of the model 11 2.2.1.1 Population Regression Function: 11 2.2.1.2 Sample Regression Function: 13 2.2.2 Explanation of the variables: 13 2.2.3 Description of the data 14 2.2.3.1 Source of data 14 2.2.3.2 Statistical descriptions of the variables 14 2.2.3.3 Correlation matrix between variables 15 SECTION3:ESTIMATED MODEL AND STATISTICAL INFERENCE 16 3.1 Estimated model 16 3.1.1 Estimation result 16 3.1.2 The sample regression model 16 3.1.3 The coefficient of determination 16 3.1.4 Meanings of estimated coefficients 16 3.1.5 Other results analysis 17 3,2 Hypothesis Testing 17 3.2.1 Verifying the suitability of individual regression coefficient 17 3.2.2 Verifying the suitability of regression model 19 3.2.3 Explanation for coefficient that is not statistically significant .19 3.3 Some recommendations 20 3.3.1 Some recommendations for improving Intelligence Quotient Index 20 3.3.1.1 Improve GPA 20 3.3.1.2 Improve height 20 3.3.1.3 Others workable solutions 21 a) Learn an instrument 21 b) Start meditating 21 3.3.2 Some recommendations for future research 21 CONCLUSION 23 REFERENCES 24 APPENDIX 25 INDIVIDUAL ASSESSMENT 32 ABSTRACT “Intelligence is the ability to adapt to change”, said one of the most famous and beloved scientists of his generation – Stephen Hawking But what is “intelligence” exactly? How can it be measured? And most importantly, what affects this? These questions are still one of the biggest questions, science is trying to answer today But there are already models, which try to explain how the intelligence of humans could be measured, for example the “Intelligence Quotient Index” (IQ) But for our group, the last question is more interesting What affects the Intelligence Quotient Index? For this, we decided to identify what are the key factors that influence the Intelligence Quotient Index of Students from the Foreign Trade University in Hanoi This Report shows the findings from a questionnaire survey, where empirical studies (n = 90) on factors which may influence the Intelligence Quotient Index among students are reviewed The review details how the Intelligence Quotient Index among students relates to the gender, the average GPA from the previous year, religion, height In this report, multiple ordinary least-squares (OLS) regression was used to verify the suitability of the model The model can sufficiently explain the relationship between the observed and implied variables The result revealed that students who have impressive height, achieve high academic achievements and are not religious often have a higher IQ INTRODUCTION Econometrics is "the quantitative analysis of actual economic phenomena based on the concurrent development of theory and observation, related by appropriate methods of inference"( P A Samuelson, T C Koopmans, and J R N Stone (1954)- "Report of the Evaluative Committee for Econometrica," Econometrica 22(2), p 142.) Econometricians try to find estimators that have desirable statistical properties including unbiasedness, efficiency, and consistency There are classifications of Econometrics: Theoretical econometrics (concerning methods and is closely related to mathematical statistics) and Applied econometrics (assessing economic theories, developing econometric models, analysing economic history, and forecasting) Numerous research studies conducted over a period of almost a century have shown that intelligence is not only essential to an individual’s life but also an important correlate and determinant of a wide range of economic and social phenomena including educational attainment, socioeconomic status, earnings and life achievement Low intelligence is a significant determinant of unemployment, poverty, welfare dependency, mortality and crime (Brand and Smith, 1987) That’s the reasons why our group opted for the topic “Factors affecting Intelligence Quotient Index of FTU’s students” to aquire additional knowledge about some determinants of Intelligence Quotient Index as well as suggest feasible solutions to improve Intelligence Quotient Index for students This essay incorporates the following content:  ABSTRACT  INTRODUCTION  SECTION 1: OVERVIEW OF THE TOPIC  SECTION 2: MODEL SPECIFICATION  SECTION 3: ESTIMATED MODEL AND STATISTICAL INFERENCES  CONCLUSION  REFERENCES  APPENDIX  INDIVIDUAL ASSESSMENT During the report-making procedure, we tried to get the best results but inevitably made mistakes because of lack of knowledge and skills Therefore, we sincerely look forward to your comments so that our team can improve SECTION 1: OVERVIEW OF THE TOPIC 1.1 Intelligence Quotient Index and related terms In one sense, human intelligence is something all humans share: it is what traditionally marks us out from other animals and has made Homo sapiens one of the more successful species on the planet It involves language and the capacity to develop and transmit a culture, to think, reason, test hypotheses, and understand rules, and so on For the greater part of the twentieth century, however, the psychological study of human intelligence attempted to understand how and why people differ in intelligence Until the development of cognitive psychology in the 1960s, indeed, this focus on individual differences quite overshadowed any attempt to study the general nature of human intelligence, what people share rather than what sets them apart (Mackintosh, 2011) Intelligence is measured by intelligence tests These testes typically consist of several different kinds of tests of verbal reasoning, non-verbal reasoning, mental arithmetic, vocabulary, verbal comprehension and perceptual, spatial and memory abilities (Mackintosh, 2011) The total score derived from these several standardized tests designed to assess human intelligence is called Intelligence Quotient (IQ) Index The scores obtained on intelligence tests are expressed in a metric in which the mean IQ of a representative sample of a national population is set at 100 and the standard deviation is set at 15 Thus, approximately 96% of the population have IQs in the range of 70 to 130 The highest IQs that have been recorded are around 200 (de Jong and Das Smaal, 1995) 1.2 Theoretical Background Intelligence quotient is determined by several factors which include both genetic as well as non-genetic factors Even though genetic factors play the major role in determining IQ, various other modifiable environmental influences can influence the IQ of an individual IQ tests generally are reliable enough that most people ages ten and older have similar IQ scores throughout life But some individuals score very differently when taking the same test at different times or when taking more than one kind of IQ test at the same age It has been noted that 25% of assessed individuals will obtain a 10-point IQ score difference with another IQ battery Even though not all studies indicate significant discrepancies between intelligence batteries at the group level the absence of differences at the individual level cannot be automatically assumed Variations in IQ scores are based on an individual’s specific knowledge, vocabulary, expressive language and memory skills, visual special abilities, fine motor coordination and perceptual skills Moreover, one’s emotional anxiety, tension and unfamiliarity with the testing process can also influence the IQ score (Mackintosh, 2011) The genetic and environmental factors that determine IQ have been difficult to pin down scientifically, but several aspects of the environment including socioeconomic status and education are correlated with IQ, and it has been shown that malnutrition can reduce IQ The variability in cognitive abilities among different individuals is due to the interaction of genetic and environmental factors Genetics account for around 50% as per many studies and increasing with age Shared and non-shared environment account for 25% and 20%, respectively, the latter 5% being represented by errors in the evaluation of the cognitive abilities Environment can modify genetically determined cognitive abilities, and an enriched environment can improve the performance (Aiello and Dean, 1990) Therefore, we want to focus on factors like gender, religion, previous GPA and height which are all environmental and genetic factors We may be genetically predisposed to a certain brain volume, structure and pathways – a certain level of intelligence set by our biology – but how much we achieve isn’t based in biology alone The type of life we lead also affects intelligence (Gonzales, Cauce, Friedman, Mason, 1996) SECTION 2: MODEL SPECIFICATION 2.1 Methodology in the study 2.1.1 Method to derive the model In our research, we use Multiple Linear Regression, which is a linear approach to modeling the statistical relationship between a dependent variable and one or more than one independent variables In particular, Intelligence Quotient Index is statistically dependent on Gender, Height, Religion, and Height 2.1.2 Method to collect and analyze the data 2.1.2.1 Method to collect the data We want to measure factors affecting Intelligence Quotient index of FTU’s students in the previous school year (2018- 2019) 90 people were selected randomly from that population We use a cross section of that particular population range The data source is taken from our survey 2.1.2.2 Method to analyze the data In order to analyze the dataset and interpret the correlation matrix between variables, we use STATA 2.2 Theoretical model specification 2.2.1 Specification of the model Having considering previous research as well as theoretical background, our group has built a function to analyze the influences of some factor on Intelligence Quotient Index: Intelligence Quotient Index= f(Gender, Height, GPA, Religion) With a view to determining the effects of these above- mentioned factors on Intelligence Quotient Index, our group decided to choose the regression analysis models 2.2.1.1 Population Regression Function: Testing formula: Ts= To verify the suitability of individual regression coefficient we use STATA and achieve the result as below: + P-value of Gender is 0.951 so PGender > α (α = 5%)  At 5% level of significance, we accept the hypothesis and reject  At 5% level of significance, the estimated coefficient statistically significant is not  At 5% level of significance, Gender does not actually affect Intelligence Quotient index + P-value of Height variable is 0.000 so PHeight < α (α = 5%)  At 5% level of significance, we reject the hypothesis and accept  At 5% level of significance, the estimated coefficient is statistically significant  At 5% level of significance, Height does affect Intelligence Quotient index + P-value of GPA is 0.000 so PGPA < α (α = 5%)  At 5% level of significance, we reject the hypothesis and accept  At 5% level of significance, the estimated coefficient is statistically significant  At 5% level of significance, GPA does affect Intelligence Quotient index + P-value of religion is 0.041, so Preligion