Question
Please answer questions 1-3 based on the below coefficients ( T stat) results. b 0 = 86.0369913921696 (4.66942436082179)... the constant (intercept) b 1 = -0.04818741160395
Please answer questions 1-3 based on the below coefficients ( T stat) results.
b0 = 86.0369913921696 (4.66942436082179)... the constant (intercept)
b1 = -0.04818741160395 (-2.00366882771833) ...PG (own price of gasoline)
b2 = 0.00282179652160116 (7.1750027294528) ...M (per capital income)
b3 = -0.671211703825764 (-2.79721635430366) ... Pnc (price index new cars)
b4 = 0.363317876427334 (3.44316351601554) ...Puc (price index for used cars)
b5 = -0.0130492690332664 (-0.164531581503847) ...Ppt (public transport)
R2 = 0.936980883612298 Adjusted R2 = 0.923851901031527
- What do they tell you about the demand for gasoline? If not, what you have learned about the demand for gasoline? Explain.
2. Which estimated coefficients are statistically significant? Which are not? Name them and briefly explain your answers.
3. What does the value you obtained for R2 say about your regression (make a specific numerical reference based on the regression output provided)? Can you think of any other independent variables that might be included in the regression? Name them.
Step by Step Solution
There are 3 Steps involved in it
Step: 1
![blur-text-image](https://dsd5zvtm8ll6.cloudfront.net/includes/images/document_product_info/blur-text-image.webp)
Get Instant Access with AI-Powered Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
![blur-text-image](https://dsd5zvtm8ll6.cloudfront.net/includes/images/document_product_info/blur-subtext-image.webp)
Step: 3
![blur-text-image](https://dsd5zvtm8ll6.cloudfront.net/includes/images/document_product_info/blur-subtext-image.webp)
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started