MATLAB: An Introduction with Applications
MATLAB: An Introduction with Applications
6th Edition
ISBN: 9781119256830
Author: Amos Gilat
Publisher: John Wiley & Sons Inc
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A researcher is investigating possible explanations for deaths in traffic accidents. He examined data from 2000 for each of the 52 cities randomly selected in the US. The data included information on the following
variables: Deaths: The number of deaths in traffic accidents per city and Income: The median income per city
As part of his study, he ran the following simple linear regression model as pictured : 

Question:  Based on the above results, the researcher tested the hypotheses ( Null: B1=0 versus Alternative: B1 not equal to 0) using T test. What do we know about the test statistic of the test, what is the approximate p-value, and value of Rsquared? And based on your result, what is your conclusion? Show your work for full credit.  

### Fitting a Linear Model Using Least Squares

**Model Equation:**
\[ \text{Deaths} = \beta_0 + \beta_1 (\text{Income}) \]

This model was fit to the data using the method of least squares. The following results were obtained from SAS:

#### Table: Analysis of Variance

| Source | Sum of Squares | df |
|--------|----------------|----|
| Model  | 711680         | 1  |
| Error  | 50692661       | 50 |

- **Model**: Represents the variability explained by the regression model.
- **Error**: Represents the variability not explained by the model.
- **df (degrees of freedom)**: Relates to the number of data points and the number of parameters estimated.

#### Table: Parameter Estimates

| Variable | Parameter Estimate | Standard Error of Parameter Estimate |
|----------|--------------------|--------------------------------------|
| Constant | 292.518            | 823.505                              |
| Income   | 0.05               | 0.06                                 |

- **Constant**: The intercept of the model, indicating the predicted number of deaths when income is zero.
- **Income**: The slope of the model, showing the change in the number of deaths per unit increase in income.
- **Standard Error**: Reflects the accuracy of the parameter estimates.
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Transcribed Image Text:### Fitting a Linear Model Using Least Squares **Model Equation:** \[ \text{Deaths} = \beta_0 + \beta_1 (\text{Income}) \] This model was fit to the data using the method of least squares. The following results were obtained from SAS: #### Table: Analysis of Variance | Source | Sum of Squares | df | |--------|----------------|----| | Model | 711680 | 1 | | Error | 50692661 | 50 | - **Model**: Represents the variability explained by the regression model. - **Error**: Represents the variability not explained by the model. - **df (degrees of freedom)**: Relates to the number of data points and the number of parameters estimated. #### Table: Parameter Estimates | Variable | Parameter Estimate | Standard Error of Parameter Estimate | |----------|--------------------|--------------------------------------| | Constant | 292.518 | 823.505 | | Income | 0.05 | 0.06 | - **Constant**: The intercept of the model, indicating the predicted number of deaths when income is zero. - **Income**: The slope of the model, showing the change in the number of deaths per unit increase in income. - **Standard Error**: Reflects the accuracy of the parameter estimates.
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