Question
You are in a meeting with the CMO of a major retailer discussing a simple regression model to predict Amount_Spent (Y) from Age (X). The
You are in a meeting with the CMO of a major retailer discussing a simple regression model to predict Amount_Spent (Y) from Age (X). The model has a high r-square value, and everything about the final model is statistically significant. The coefficient for AGE is 0.00000001234. The CMO points out that the coefficient for AGE is almost zero, and anything multiplied by zero is zero; So, AGE really doesn't matter in the model. Agree? Disagree? How would you respond?
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started
Mathematical Applications for the Management Life and Social Sciences
Authors: Ronald J. Harshbarger, James J. Reynolds
11th edition
9781337032247, 9781305465183, 1305108043, 1337032247, 1305465180, 978-1305108042
