mickthesick , A friend of mine had done a research on that topic. If you want to get some ideas from him, do shoot me an email. What I would suggest is that you change the dummy variable WAR to a continuous one. Lets say you can range it from 1-5 depending upon how bad the country was affected in that particular year. It makes more sense as the maoist war did not have a constant effect on the economy. Some years were more troublesome to the nation than others. One thing you can use to determine the degree of insecurity and instability caused by the war is to look at the number of people who died due to war in that year. A better idea would be however, to include even the bandhs and so forth to account for the instability created by the war. I was interested in this topic but did not have time for this. But, you can continue this topic and develop into a thesis if you are planning to write one. And again, forget about the test-statistics...if they are significant, its good, if not...doesnt matter...