Question

In: Statistics and Probability

Use the following linear regression equation to answer the questions. x1 = 1.3 + 3.6x2 –...

Use the following linear regression equation to answer the questions.

x1 = 1.3 + 3.6x2 – 8.3x3 + 2.0x4

(Use the following linear regression equation to answer the questions.

x1 = 1.3 + 3.6x2 – 8.3x3 + 2.0x4

(a) Which variable is the response variable?

x3x2     x1x4


Which variables are the explanatory variables? (Select all that apply.)

x3x2x4x1



(b) Which number is the constant term? List the coefficients with their corresponding explanatory variables.

constant
x2 coefficient
x3 coefficient
x4 coefficient


(c) If x2 = 1, x3 = 7, and x4 = 10, what is the predicted value for x1? (Use 1 decimal place.)

(d) Explain how each coefficient can be thought of as a "slope" under certain conditions.

If we look at all coefficients together, the sum of them can be thought of as the overall "slope" of the regression line.If we hold all explanatory variables as fixed constants, the intercept can be thought of as a "slope."     If we hold all other explanatory variables as fixed constants, then we can look at one coefficient as a "slope."If we look at all coefficients together, each one can be thought of as a "slope."



Suppose x3 and x4 were held at fixed but arbitrary values and x2 increased by 1 unit. What would be the corresponding change in x1?


Suppose x2 increased by 2 units. What would be the expected change in x1?


Suppose x2 decreased by 4 units. What would be the expected change in x1?


(e) Suppose that n = 17 data points were used to construct the given regression equation and that the standard error for the coefficient of x2 is 0.314. Construct a 99%confidence interval for the coefficient of x2. (Use 2 decimal places.)

lower limit
upper limit


(f) Using the information of part (e) and level of significance 1%, test the claim that the coefficient of x2 is different from zero. (Use 2 decimal places.)

t
t critical ±

Conclusion

Reject the null hypothesis, there is sufficient evidence that β2 differs from 0.Reject the null hypothesis, there is insufficient evidence that β2 differs from 0.     Fail to reject the null hypothesis, there is insufficient evidence that β2 differs from 0.Fail to reject the null hypothesis, there is sufficient evidence that β2 differs from 0.


Explain how the conclusion of this test would affect the regression equation.

If we conclude that β2 is not different from 0 then we would remove x2 from the model.If we conclude that β2 is not different from 0 then we would remove x1 from the model.     If we conclude that β2 is not different from 0 then we would remove x3 from the model.If we conclude that β2 is not different from 0 then we would remove x4 from the model.

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