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1. Why is the fixed cost for this airline company negative? What causes the fixed cost to turn negative for this particular company? I ran
1. Why is the fixed cost for this airline company negative? What causes the fixed cost to turn negative for this particular company? I ran another regression for other airline companies, and they got the same (negative numbers in the Fixed Cost) [This is real data].
2. Do you think this regression model is reliable even though the T-statistic for the intercept is lower than 2?
SUMMARY OUTPUT Regression Statistics Multiple R 0.965525689 R Square 0.932239856 Adjusted R Square 0.929159849 Standard Error 409456040.3 Observations 24 ANOVA df Regression Residual Total Intercept X Variable 1 SS MS F 1 5.07E+19 5.07E+19 302.6746 22 3.69E+18 1.68E+17 23 5.44E+19 Significance F 2.40128E-14 good Coefficients andard Err -1734240945 2.83E+08 t Stat -6.11948 P-value 3.69E-06 269.188593 15.47279 17.39755 2.4E-14 237.0999899 301.2772 Lower 95% Upper 95%ower 95.0%pper 95.0% -2321969975 -1.1E+09 -2.3E+09 -1.1E+09 237.1 301.2772 good >2
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