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A popular travel magazine ranks global cities for the healthiest lifestyles every year. Cities want to achieve better ranking to increase tourism levels. Keep in

A popular travel magazine ranks global cities for the healthiest lifestyles every year. Cities want to achieve better ranking to increase tourism levels. Keep in mind that cities that are rated lower (1, 2, 3...) are considered better than cities that are rated higher (...42, 43, 44). Take a look at the City data tab.

1. Examine the impact of all the variables available on a city's ranking.

a) Report the regression equation, interpret the p-value of F-test, and interpret the R-squared value.

b) Which explanatory variables are statistically significant at the 5% level?

c) Interpret the slope coefficient for variables "sunshine hours" and "US cities."

2. Remove all variables that are insignificant at the 5% level and rerun your regression. You can perform this analysis two ways - either using the stepwise procedure or by manually unchecking the insignificant variables.

d) Report the regression equation, interpret the p-value of F-test, and interpret the R-squared value

City Rank US City (yes) Sunshine hours Cost of a bottle of water (in Euros) Pollution score Annual avg. hours worked Outdoor activities
Amsterdam 1 0 1858 1.92 30.93 1434 422
Sydney 2 0 2636 1.48 26.86 1712 406
Vienna 3 0 1884 1.94 17.33 1501 132
Stockholm 4 0 1821 1.72 19.63 1452 129
Copenhagen 5 0 1630 2.19 21.24 1380 154
Helsinki 6 0 1662 1.6 13.08 1540 113
Fukuoka 7 0 2769 0.78 62.67 1644 35
Berlin 8 0 1626 1.55 39.41 1386 254
Barcelona 9 0 2591 1.19 65.19 1686 585
Vancouver 10 0 1938 1.08 24.26 1670 218
Melbourne 11 0 2363 1.57 25.9 1712 243
Beijing 12 0 2671 0.26 85.43 1137 223
Bangkok 13 0 2624 0.22 76.64 1386 377
Buenos Aires 14 0 2525 0.57 52.64 1295 246
Toronto 15 0 2066 1.09 37.83 1670 174
Madrid 16 0 2769 1.3 52.68 1686 216
Jakarta 17 0 2983 0.21 84.39 1376 114
Seoul 18 0 2066 0.59 57.82 1967 144
Frankfurt 19 0 1662 1.95 37.78 1386 23
Geneva 20 0 1662 2.62 27.25 1557 44
Tel Aviv 21 0 3311 1.63 47.28 1898 139
Istanbul 22 0 2218 0.15 69.49 1832 419
Cairo 23 0 3542 0.16 91.74 1194 323
Taipei 24 0 1405 0.57 49.32 1311 134
Los Angeles 25 1 3254 1.52 66.07 1779 223
Mumbai 26 0 2584 0.15 82.84 1612 187
Boston 27 1 2634 1.39 27.03 1779 88
Dublin 28 0 1453 1.4 40.07 1772 159
Tokyo 29 0 1877 0.76 42.84 1644 387
Chicago 30 1 2508 1.2 43.33 1779 171
Hong Kong 31 0 1836 0.75 67.46 1014 277
Shanghai 32 0 1776 0.29 77.4 1343 108
Brussels 33 0 1546 2.11 62.67 1583 55
San Francisco 34 1 3062 1.6 47.36 1779 242
Paris 35 0 1662 1.95 65.1 1505 331
Sao Paulo 36 0 2003 0.44 79.78 1588 158
Zurich 37 0 1566 3.2 17.31 1557 69
London 38 0 1633 1.16 58.91 1538 433
Johannesburg 39 0 3124 0.59 61.83 2054 194
Milan 40 0 1915 1.15 67.19 1718 110
Washington, D.C. 41 1 2528 1.45 39.18 1779 83
New York 42 1 2535 1.32 57.36 1779 359
Moscow 43 0 1901 0.41 57.63 1965 322
Mexico City 44 0 2555 0.45 82.78 2137 192

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