Q1 A story by James R. age_r_ty entitled With Buyers Sidelined, Home Prices Slide published in the Thursday October 25, 2007 edition of the Wall Street Journal contained data on so-called fundamental housing indicators in major real estate markets across the US. The author argues that prices are generally falling and overdue loan payments are piling up . Thus, we shall consider data presented in the article on Y = Percentage change in average price from July 2006 to July 2007 (based on the S&P /I_qse;h_illgr; national housing index); ' X = Percentage of mortgage loans 30 days or more overdue in latest quarter (based on data from Equifax and Moodys). (a) Find a 95% condence interval for the slope of the regression model, b1. 0n the basis of this condence interval decide whether there is evidence of a signicant negative linear association. (b) Pittsburgh has just been classied as a new major real estate zone and has a percentage of mortgage loans 30 days or more overdue in latest quarter of 2.5. What is your 99% prediction interval for the Percentage change in average price