Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

We ran a regression to test how demand for sunglasses varies across cities at LensCrafters. We study Toronto, Montreal, Ottawa and Vancouver. We used dummy

We ran a regression to test how demand for sunglasses varies across cities at LensCrafters. We study Toronto, Montreal, Ottawa and Vancouver. We used dummy variables (the excluded dummy variables is Montreal) and obtained the following regression equation:

Demand = 45+10(Toronto)-5(Ottawa)+5(Vancouver)

Suppose we decided to exclude the variable Vancouver, as opposed to the variable Montreal. In this case, what would be the coefficient of the variable Toronto?

A. 50

B. -5

C. 10

D. 5

E. 0

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Algebra 2 Grades 9-12 McDougal Littell High School Math Texas

Authors: MCDOUGAL LITTEL

Texas

9780618595556, 0618595554

More Books

Students also viewed these Mathematics questions

Question

Define marketing concepts.

Answered: 1 week ago

Question

1 what does yellow colour on the map represent?

Answered: 1 week ago