SUMMARY OUTPUTExcelExercisesRegression StatisticsMultiple RR-SquareAdjusted R-SquareStandard ErrorObservationsAnalysis of VarianceRegressionResidualTotalInterceptPrice of XIncome7. An econometrics expert from your firm used a linear demand specification to estimatethe demand for its product and sent you a hard copy of the results. (LO6)a. Based on these estimates, write an equation that summarizes the demand for the0.380.140.1320.77150How much Will yincrease the price of good X by 2 percellCoefficients58.87-1.641.11firm's product.b. Which regression coefficients are statistically significant at the 5 percent level?c. When price is $10, what is the income elasticity for this product for an income levelof 35?Degrees of Freedom2147149Sum of Squares10,398.8763,408.6273,807.49Standard Error15.330.850.248. Suppose the true inMean Square5199.43431.35t-Statistic3.84-1.934.64F12.05P-Value0.000.060.00Significance F0.00Lower 95%28.59-3.310.63Upper 95%89.150.041.561

The ordinary least square, or OLS estimation, or regression, establishes a linear relationship…

How increase the price of good X by An econometrics expert from your firm used a linear demand specification to estimate the demand for its product and sent you a hard copy of the results. (LO6) a. Based on these estimates, write an equation that summarizes the demand for the firm's product. b. Which regression coefficients are statistically significant at the 5 percent level? c. When price is $10, what is the income elasticity for this product for an income level of 35?

How increase the price of good X by An econometrics expert from your firm used a linear demand specification to estimate the demand for its product and sent you a hard copy of the results. (LO6) a. Based on these estimates, write an equation that summarizes the demand for the firm's product. b. Which regression coefficients are statistically significant at the 5 percent level? c. When price is $10, what is the income elasticity for this product for an income level of 35?

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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