Data Preparation

Tasks

We need to complete the following tasks for data preparation:

1. Remove all objects to clean the workspace in R.
2. Create a Project folder to hold the original Penn World Table data, program, and output files.
3. Create a well-documented R program to read the original dataset into R.
4. Inspect the imported data to make sure the original data is imported into R properly.
5. Clean possible data problems.
6. Create a new dataset using a subset of the original dataset.
7. Create new variables for later use.
8. Install the required add-on packages.

We use the following add-on packages in this section:

• DataCombine
• ggplot2
• Rmisc
• stargazer

We use install.packages("DataCombine"), to install these packages once first. At the end of data preparation, we have the clean dataset saved into a new R dataset, pwt7g in the Project folder.