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Suppose you estimated the following average cost function using the regression package in Excel. SUMMARY OUTPUT Regression Statistics R Square 0,4328 Adjusted R Square 0,3967
Suppose you estimated the following average cost function using the regression package in Excel. SUMMARY OUTPUT Regression Statistics R Square 0,4328 Adjusted R Square 0,3967 Standard Error 0,0193 Observations 500,0000 ANOVA Significance F Regression 0,0327 Coefficients Standard Error t Stat P-value Intercept 1,3300 0,4800 2,7708 0,0021 a -0,0400 0,0130 -3,0769 0,0093 0,0030 0,0345 0,0870 0,4370 Looking at the coefficients, Significance F, and p values, you can conclude: O Since the coefficient on Q has a p-value less than 0,05 and a t-statistic larger than the absolute value of 1,96, the Q variable is statistically insignificant, indicating we donat"t experience economies of scale. O Since the Significance F value is less than 0,05 then this equation does not explain average cost. O All of the above are true. O Since the coefficient on Q- has a p-value greater than 0,05 and a t-statistic smaller than the absolute value of 1,96, the Q2 variable is statistically insignificant, indicating we donact experience diseconomies of scale
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