The data file German Income shows 22 annual observations from the Federal Republic of Germany on percentage change in wages and salaries (y), productivity growth 1x12, and the rate of inflation 1x22,...

The data file German Income shows 22 annual observations from the Federal Republic of Germany on percentage change in wages and salaries (y), productivity growth 1x12, and the rate of inflation 1x22, as measured by the gross national product price deflator. Estimate by least squares the following regression:

yt = b0 + b1x1t + b2x2t + et

Write a report summarizing your findings, including a test for heteroscedasticity and a test for autocorrelated errors.