The accompanying table gives the personal consumption expenditure and the corresponding disposable income (in billions of dollars)

Question:

The accompanying table gives the personal consumption expenditure and the corresponding disposable income (in billions of dollars) for the United States in the period 2003–2008:


image


a. Plot these data on a graph, with disposable income on the x axis and consumption expenditure on the y axis.


b. Find the equation of the least-squares line for the data.


c. Use the least-squares line to predict the consumption that would correspond to $13 trillion ($13,000 billion) of disposable income.

Fantastic news! We've Found the answer you've been seeking!

Step by Step Answer:

Related Book For  book-img-for-question

Calculus For Business, Economics And The Social And Life Sciences

ISBN: 9780073532387

11th Brief Edition

Authors: Laurence Hoffmann, Gerald Bradley, David Sobecki, Michael Price

Question Posted: