10.44. Example 9.10 in the previous chapter used a data set on house sales to regress Y...
Question:
10.44. Example 9.10 in the previous chapter used a data set on house sales to regress Y = selling price of home (in dollars) to A = size of house
(in square feet). The prediction equation was y = -50,926 + 126.6x. Now we regard size of house as Xi and also consider X2 = whether the house is new (yes or no). The prediction equation relating y to x\ has slope 161 for new homes and 109 for older homes. This gives evidence
(a) of interaction between A| and X2 in their effects on Y
(b) of a spurious association between selling price and size
(c) of a chain relationship, whereby whether new affects size which affects selling price
(d) that size of house docs not have a causal effect on price
Step by Step Answer:
Statistical Methods For The Social Sciences
ISBN: 9781292021669
4th Edition
Authors: Barbara Finlay, Alan Agresti