(Choose 1 answer)Answer
(See picture)
A. $1.39 billion
B. $4.75 billion
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.
SUMMARY OUTPUT
C. $2.89 billion
D. $9.45 billion
Regression Statistics
Multiple R
0.991
R Square
0.982
Adjusted R Square
0.976
Standard Error
0.299
Observations
10
ANOVA
df
SS
MS 33.4163
Regression
Residual
Total
2
7
0.6277
F
16.7082
0.0897
Signif
186.325
F 0.0001
9
34.0440
Coeff
StdError
1 Stat
P-value
Intercept
-0.08610.7654
0.5674 0.0574
-0.152
0.8837 0.0001
GDP
Price
13.340 -0.219
-0.0006
0.0028
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?
E11
