Question
An historian of poor relief is interested in finding out what factors were most important in determining the amount of money localities in England (known
An historian of poor relief is interested in finding out what factors were most important in determining the amount of money localities in England (known as parishes) spent on aiding impoverished families in 1833, just prior to the passage of a law which overhauled the poor relief system. He randomly selects 311 parishes in England. His dependent variable is RELIEF (the amount of money the parish spent on relief per capita). Below are tables that define his independent variables and show the results of his regression procedure. Based on those results, answer questions #1 through 18:
Independent Variable | Definition |
INCOME | Mean annual income of adult male farm workers in each parish |
UNEMPLOYMENT | Proportion of farm laborers in each parish who were unemployed |
LONDON | The distance (in miles) to London from the center of the county in which each parish was located |
DENSITY | Number of people per square acre in each parish |
WEALTH | Value of real estate in each parish per head of household |
In addition to the numeric independent variables listed above, he also uses a number of dummy independent variables, where the value of "1" indicates that the answer to the question is "yes" and the value of "0" indicates that the answer to the question is "no":
Independent Variable | Definition |
ALLOTMENT | Were farm laborers allotted a portion of their employers' land for their own use? |
WORKHOUSE | Was there a workhouse in the parish? |
CHILDALLOWANCE | Did the parish grant poor families allowances (extra money) if theyhad several children (usually three or more)? |
SUBSIDY | Did the parish subsidize the wages of privately-employed laborers? |
His research hypothesis is that INCOME, WEALTH, UNEMPLOYMENT, WORKHOUSE, LONDON, and CHILDALLOWANCE were all positively related to RELIEF, whereas DENSITY, SUBSIDY, and ALLOTMENT were negatively related to RELIEF.
For the sake of simplicity, we willtreat monetary values in equivalent U.S. dollars.
Here are the results of his regression procedure:
Dependent Variable: RELIEF
N of Cases: 311
Standard Error of Estimate: 6.548
y-intercept: 8.991
Independent Variable | Partial Regression Coefficient (b) | St. Error of b | Beta Weights (i.e., Standardized Coefficients) |
INCOME | .153 | .092 | .094 |
UNEMPLOYMENT | 40.626 | 5.343 | .380 |
ALLOTMENT | -.859 | .769 | -.054 |
LONDON | -.03190 | .010 | -.180 |
WORKHOUSE | .288 | .825 | .017 |
CHILDALLOWANCE | 4.676 | 1.007 | .226 |
SUBSIDY | -.817 | .955 | -.040 |
DENSITY | -1.168 | .457 | -.123 |
WEALTH | .127 | .168 | .037 |
SourceSum of Squares
Regression 7,030.463
Residuals 12,908.653
For every $20 increase in INCOME there is, on average and controlling for the influence of the other independent variables, what increase in RELIEF?
Group of answer choices
A. an amount greater than 10
B. an amount between 0.10 and 1.0
C. an amount between 1.0 and 10
D. an amount between 0 and 0.10
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started