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The following nonlinear regression allows for the data to choose its own changepoint k for Odometer. (The change point for Age remains the same). cars.nls
The following nonlinear regression allows for the data to choose its own changepoint k for Odometer. (The change point for Age remains the same). cars.nls = nls ( Price beta 0+ beta 1 * Age + beta 2 * Agegt 4+ beta 3 * Odometer + beta 4 * I((abs( Odometer-k)+Odometer-k)/2), start = list(beta0 =29465, beta 1=1845, beta 2=997, beta3 =80, beta 4=51.6,k=50)) (a) Does this model fit better than the one with fixed change point 50(50,000km) ? Quote evidence. [ 2 marks ] (b) Calculate a 95% confidence interval for the change point k. Does it contain the starting value 50? [ 4 marks ]
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