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Please help me to answer parts a and b 2. Your friend has been given information on the charitable donations of 47 individuals on an
Please help me to answer parts a and b
2. Your friend has been given information on the charitable donations of 47 individuals on an annual basis over a 10 year period. She estimates the following model: Charityit = Bo + B, Ageit + B2Income it + B3Priceit + BA Marriedit + B; Depsit + Uit where Charityit is the value of charitable giving in year t = 1,..., 10 by individual i = 1, ..., 47, Ageit is a dummy variable which is 1 if the individual is aged over sixty- four in the year, Income it is the individual's income, Priceit is 1 minus the individual's marginal tax rate, Marriedit (denoted ms in the output below) is a dummy variable indicating if the person was married in year t and Deps it is the number of dependents the individual lists in year t. Your friend obtained the following output Call: lm (formula = charity income + price + age + ms + deps, data = charity) Residuals: Min 1Q Median -4.7373 -0.6069 0.0565 3Q Max 0.7279 3.5053 Coefficients: Estimate Std. Error t value Pr>t) (Intercept) -4.674220 1.298134 -3.601 0.000352 *** income 1.035779 0.128944 8.033 7.94e-15 *** price 0.483092 0.207703 2.326 0.020455 * age 1.547275 0.216955 7.132 3.83e-12 *** ms -0.008036 0.184849 -0.043 0.965341 deps 0.175368 0.042642 4.113 4.63e-05 *** Signif. codes: 0 '***' 0.001 '**' 0.01 '*' 0.05.' 0.1'' 1 Residual standard error: 1.163 on 464 degrees of freedom Multiple R-squared: 0.2245, Adjusted R-squared: 0.2161 F-statistic: 26.86 on 5 and 464 DF, p-value: t) (Intercept) -4.674220 1.298134 -3.601 0.000352 *** income 1.035779 0.128944 8.033 7.94e-15 *** price 0.483092 0.207703 2.326 0.020455 * age 1.547275 0.216955 7.132 3.83e-12 *** ms -0.008036 0.184849 -0.043 0.965341 deps 0.175368 0.042642 4.113 4.63e-05 *** Signif. codes: 0 '***' 0.001 '**' 0.01 '*' 0.05.' 0.1'' 1 Residual standard error: 1.163 on 464 degrees of freedom Multiple R-squared: 0.2245, Adjusted R-squared: 0.2161 F-statistic: 26.86 on 5 and 464 DF, p-value:Step by Step Solution
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