In a study of differences in levels of community demand for firefighters, the following sample regression was

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In a study of differences in levels of community demand for firefighters, the following sample regression was obtained, based on 46 towns in Bavaria, Germany:

where
y = number of full-time firefighters per capita
x1 = maximum base salary of firefighters, in thousands of euro
x2 = percentage of population
x3 = estimated per capita income, in thousands of euro
x4 = population density
x5 = amount of intergovernmental grants per capita, in thousands of euro
x6 = number of miles from the regional city
x7 = percentage of the population that is male and between 12 and 21 years of age
The numbers in parentheses under the coefficients are the estimated coefficient standard errors.
a. Find and interpret a 99% confidence interval for β5.
b. Test, against a two-sided alternative, the null hypothesis that β4 is 0, and interpret your result.
c. Test, against a two-sided alternative, the null hypothesis that β7 is 0, and interpret your result.

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Statistics For Business And Economics

ISBN: 9781292315034

9th Global Edition

Authors: Paul Newbold, William Carlson, Betty Thorne

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