Consider the following econometric model y = Bo + B₁ Before + B₂ Treatment + B3AfterXTreatment + u where the variable names are self-explanatory. In which kind of estimation is such a model typically used?
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- 4. Housing Prices in New YorkWe have looked at predicting the price (in s) of New York homes based on the size (in thousands of square feet), using the data in HomesForSaleNY. Two other variables in the dataset are the number of bedrooms and the number of bathrooms. Use technology to create a multiple regression model to predict price based on all three variables: size, number of bedrooms, and number of bathrooms. Price Size Beds Baths 145 1.3 3 1.5 875 2.9 7 3.75 300 1.5 3 2.5 370 1.1 2 1 268 1.5 2 2 1399 4.8 6 5 1125 3.1 3 2.5 299 1.4 3 2 110 1.2 3 1 2999 6 7 8 170 1 2 1 269 1.5 3 1.5 150 1 2 1.5 288 1.8 3 2.1 350 1.3 3 2 120 0.9 1 1 309 2.4 4 2.5 1500 1.5 2 1.5 635 2.5 4 2.5 350 0.9 2 1 459 1.8 4 2.5 275 2.9 4 1.5 275 1.8 3 2 2500 3.7 3 3 187 1.4 3 1.5 238 1.7 3 1.5 155 0.7 1 1 175 1.6 3 1.5 569 3.2 4 2 105 1.2 2 2.5 a) Which of the variables which are significant at the 5% level? b) Which variable is the most…Conduct a hypothesis for whether consumption and income are linearly related using ? =0.01. The standard error of the slope is 0.144. Slope = 0.75, Intercept = 0, sample:Income 9, 11, 5, 8, 2, 9, 12Consumption 7, 7, 2, 7, 2, 8, 9 Step 1: State the null and alternative hypotheses.Step 2: Choose the significance level.Step 3: Calculate the test statistic.Step 4: Find the critical value(s).Step 5: Compare the test statistic to the critical value(s).Step 6: State the conclusion.Assume we have data demonstrating a strong linear link between the amount of fertilizer applied to certain plants and their yield. Which is the independent variable in this research question?
- The main regression specification of CG involves regressing firm investment rates on market Q, fundamental Q, cash flows, a bubble indicator and an interaction term between bubble and market Q. If you want to see the impact of bubbles on firm investment rates, you will examine significance of Select one: O a. coefficient of the Bubble indicator only O b. sum of the coefficients of market Q and the interaction term. O c. coefficient of the interaction term only O d. sum of the coefficients of Bubble indicator and the interaction term.a. State the dependent variable. b. Compute the least squares estimated regression equation. c. Is there a significant relationship between the two variables? Use a t test and a .05 level of significance. Be sure to state the null and alternative hypotheses.В. A model estimated using a dataset with 125 observations generates the following results. SS df MS Regression 919587.543 4 229896.9 Error 2590390.62 121 534.2113 Std. Variable B Error t P>lt| X2 -0.0126355 0.005519 -2.28937 0.022 X3 0.5957923 0.014482 41.13934 0.000 Х4 1.124589 0.877192 1.282032 0.200 X5 0.3237421 0.060709 5.332661 0.000 constant 8.86016 1.766116 5.016749 0.000 What is the R2 for this sample? What information does the R² provide?
- overleaf…/Page 7(b) Finally, the researcher is interested in examining the regression model for knowledge, attitudeand practices towards the COFLU-20. The following model was developed to forecastindividual practices towards COFLU-20 using knowledge and attitude scores.P = α + β K + δ Awhere P = Practice towards COFLU-20 scoreK = Knowledge towards COFLU-20 scoreA = Attitude towards COFLU-20 scoreThe data are processed using MINITAB and the output in Exhibit 1 below was obtained:Exhibit 1The regression equation is *************Predictor Coef SE t-ratio PConstant 4.755 0.462 10.282 0Knowledge 0.8 0.039 2.055 0.041Attitude 0.024 0.6 0.393 0.695R-sq = 81.5%Analysis of VarianceSOURCE DF SS MS F PRegression 2 38.06 19.03 2.284 0.104Error 297 2474.887 8.333Total 299 2512.947(i) Identify the dependent variable(s) and the independent variable(s).[(ii) Is δ significant?Show proof of the testing process used to arrive at your decision.State what this means in terms of attitude and practices.…a. Compute the least-square regression line for predicting sales from temperature. b. Test for a significant linear relationship between the two variables coffee sales (?) and temperature (?) by doing a hypothesis test regarding the population slope ?1. Include the null and alternative hypothesis and the conclusion of the test. Use the critical value approach, with a 0.05 level of significance. Use your table of statistical values for the relevant information. Write your conclusion and interpret it.You have estimated a multiple regression model with 6 explanatory variables and an intercept from a sample with 46 observations. What is the critical value of the test statistic (tc) if you want to perform a test for the significance of a single right-hand side (explanatory) variable at α = 0.05? a.) 2.023 b.) 2.708 c.) 2.423 d.) 2.704
- c. At 5% significance level, is there evidence of a linear relationship between shelf space and sales? (use t-test for correlation coefficient) d. Determine the least square regression equation for this data.15. For Suppose a commercial developer is considering purchasing a established business district. The developer can use multiple linear regression analysis to estimate the value of an office building in each area based on the following variables. group of small office buildings in an y = Assessed value of the office building x1 = Floor space in square feet x2 = Number of offices x3= Number of entrances x4 = Age of the office building in years ISUMMARY OUTPUT Regression Statistics 0.99837267 Multiple R R Square Adjusted R Square 0.99457999 Standard Error 0.99674799 970.578463 Observations 11 ANOVA Df SS MS F 1732393319|4.33E+08 Regression Residual 459.7536742 6 5652135.316| 942022.6 Total 10 1738045455 Standard t Stat Coefficients 52317.8305 Error P-value 12237.3616 4.275254|0.005232793764 Floor Space (x1) 27.6413874 5.429374042 5.091082|0.002240962381 12529.7682 400.0668382 31.31919|0.000000070386 Intercept Offices (x2) 2553.21066 530.6691519 4.811304|0.002966281803 |-234.23716…The model developed from sample data that has the form of Yhat = bo +bjX is known as the multiple regression model with two predictor variables. (True or False) O True O False