Residential property. The scatterplot shows the monthly percentage change in the residential property price in a country

Question:

Residential property. The scatterplot shows the monthly percentage change in the residential property price in a country from May 2018 to April 2020. (Data in Residential Property) image text in transcribed

A linear model fit to the relationship looks like this:
Regression Statistics Multiple R 0.9445 R Square 0.8920 Adjusted R Square 0.8871 Standard Error 0.0128 Observations 24 Variable Coefficient SE(Coeff) t-ratio P-value Intercept 7.3424 0.5415 13.5599 0.0000 Month -0.0002 0.0000 -13.4788 0.0000

a) Does the value 89.2% suggest that this is a good model?
Explain.

b) Here is a scatterplot of the residuals. Now do you think this is a good model for these data? Explain? image text in transcribed