The Missouri Department of Education has hired a program evaluation team to investigate why the average reading scores for all seniors vary from 9.4 to 13.1 for different high schools (N = 326). The program evaluation team believes that reading scores are affected by pupil–teacher ratios (X₁) and per-student spending on education in a school district (X₂). Using regression analysis, the team finds

Interpret this equation for the department of education. The education department’s budget has enough money to lower the pupil–teacher ratio by 5 or to increase the per-student spending by $50. Which should it do?

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561 = .017 Sb₂ Ŷ 10.6.091X₁ +.0031X₂ = = .00061 Slx = .17 R² = .75 Adj. R² = .74