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Question 2 Suppose that you have just started your rst job as a junior data analyst for the Niagara Regional Police and your supervisor has
Question 2 Suppose that you have just started your rst job as a junior data analyst for the Niagara Regional Police and your supervisor has asked you to describe the relationship between temperature and crime. You have the data on the average temperature and the corresponding numbers of crimes reported on the following ve days in June: Temperature (Celsius) X1= ass Table 1; Average temperature and reported crime in June (a) Use the OLE formulas provided in class to regress the number of crimes {K} on the corresponding temperature {XI-J. That is, estimate the following regression model: Y:- =fl+fr31Xi+ui [1:] Report your estimates 3n and 31. Show your work. (b) Use the formula provided in class to estimate the sampling variance of the regression coefcient for {31. That is, nd 3931). (c) Use your estimates to test the following hypothesis: 110:;3120 Hiir'31> ll Based on your result, which conclusions you can {or cannot) draw about the relationship between temperature and crime? {(1) Your supervisor gives you the weather forecast for tomorrow, which indicates it will be 1?} degrees celsius. How much crime does the model suggest there will be? That is, calculate K. (e) After taking your results up the chain of command? your supervisor is back to ask you whether your estimated relationship will work during the winter (where temperatures will be below [I celsins). What do you say
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