Can the annual new orders for manufacturing in the United States be predicted by the raw steel production in the United States? Shown below are the annual new orders for 10 years according to the U.S. Census Bureau and the raw steel production for the same 10 years as published by the American Iron & Steel Institute? Use these data to develop a regression model to predict annual new orders by raw steel production. Construct a scatter plot and draw the regression line through the points.
Raw Steel Production New Orders
(100,000s of net tons) .... ($ trillions)
99.9 ............ 2.74
97.9 ............ 2.87
98.9 ............ 2.93
87.9 ............ 2.87
92.9 ............ 2.98
97.9 ............ 3.09
100.6 .......... 3.36
104.9 ...........3.61
105.3 ...........3.75
108.6 ...........3.95