b. The following model is a simplified version of the multiple regression model used by BEST EconometricsGroup to study the trade off between time spent sleeping and working to look at other factors affectingsleep:sleep Bo + B₁totwrk + B₂educ + Page + μ₁where sleep and totwork (total work) are measure in minutes per week and educ and age are measuredin years.(i) If adults trade sleep for work, what is the sign of B₁?(ii) What signs do you think ₂ and 3 will have?(iii) Using the data in SLEEP75.RAW, the estimated equation issleep = 3,638.25-.148totwrk-11.13educ - 2.20age, n = 706, R² = .113If someone works five hours per week, by how many minutes is sleep predicted to fall? Is this alarge tradeoff?(iv) Discuss the sign and magnitude of the estimated coefficient on educ(v) Would you say totwrk, educ, and age explain much of the variation in sleep?(vi) What other factors might affect the time spent sleeping?(vii) Are these likely to be correlated with totwrk?

A multiple regression model explains linear relationship between a dependent variable and one and…

b. The following model is a simplified version of the multiple regression model used by BEST Econometrics Group to study the trade off between time spent sleeping and working to look at other factors affecting sleep: sleep Bo + B₁totwrk + B₂educ + Page + μi where sleep and totwork (total work) are measure in minutes per week and educ and age are measured in years. (i) If adults trade sleep for work, what is the sign of ₁? (ii) What signs do you think B₂ and B3 will have? (iii) Using the data in SLEEP75.RAW, the estimated equation is sleep = 3,638.25.148totwrk-11.13educ - 2.20age, n = 706, R² = .113 If someone works five hours per week, by how many minutes is sleep predicted to fall? Is this a large tradeoff?

b. The following model is a simplified version of the multiple regression model used by BEST Econometrics Group to study the trade off between time spent sleeping and working to look at other factors affecting sleep: sleep Bo + B₁totwrk + B₂educ + Page + μi where sleep and totwork (total work) are measure in minutes per week and educ and age are measured in years. (i) If adults trade sleep for work, what is the sign of ₁? (ii) What signs do you think B₂ and B3 will have? (iii) Using the data in SLEEP75.RAW, the estimated equation is sleep = 3,638.25.148totwrk-11.13educ - 2.20age, n = 706, R² = .113 If someone works five hours per week, by how many minutes is sleep predicted to fall? Is this a large tradeoff?

Managerial Economics: Applications, Strategies and Tactics (MindTap Course List)

14th Edition

ISBN:9781305506381

Author:James R. McGuigan, R. Charles Moyer, Frederick H.deB. Harris

Publisher:James R. McGuigan, R. Charles Moyer, Frederick H.deB. Harris

Chapter4: Estimating Demand

Section: Chapter Questions

Problem 3E

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