Kizspy | Question: 61
(Choose 1 answer)
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An economist is interested to see how consumption for an economy (in $ billions) is influenced by gross domestic product ($ billions) and aggregate price (consumer price index). The Microsoft Excel output of this regression is partially reproduced below.
A. $1.39 billion
B. $2.89 billion
C. $4.75 billion
D. $9.45 billion
SUMMARY OUTPUT
Regression Statistics
Multiple R
0.991
R Square
0.982
Adjusted R Square Standard Error
0.976
0.299
Observations
10
ANOVA
df
SS
MS
F
Regression
2
33.4163
Signif F
16.7082 186.325 0.0001
Residual
7
0.6277
0.0897
Total
9
34.0440
Coeff
StdError
t Stat
P-value
Intercept
-0.0861
0.5674
-0.152
0.8837
GDP
0.7654
0.0574 13.340
0.0001
Price
-0.0006
0.0028 -0.219
0.8330
What is the estimated mean consumption level for an economy with GDP equal to $2 billion and an aggregate price index of 90?
