Statistics Canada produces consumer price indexes for several different categories. Shown here are the percentage changes in consumer price indexes over a period of 22 years for durable goods, semidurable goods, and nondurable goods. Also displayed are the percentage changes in total goods price index. Use these data and multiple regression to develop a model that attempts to predict the total goods index by the other three variables. Comment on the result of this analysis. Year Total Goods Durable Goods Semidurable Goods Nondurable Goods 1 85.7 89.4 91.9 83.2 2 86.4 90.4 92.5 83.8 3 87.8 92.5 93.4 85.2 4 86.8 96.0 94.2 81.6 5 88.4 99.0 94.9 82.9 6 89.9 100.8 95.4 84.4 7 91.2 101.6 97.0 86.0 8 91.4 101.5 97.7 86.1 9 93.1 101.5 99.2 88.4 10 96.0 100.8 99.6 93.3 11 98.4 100.1 100.3 97.4 12 100 100 100 100 13 101.9 99.2 98.6 104.3 14 103.4 97.5 98.2 107.9 15 105.8 96.9 97.7 112.6 16 107.1 96.2 96.2 115.9 17 108.0 94.7 96.0 118.4 18 109.4 89.7 94.5 124.5 19 107.6 86.9 94.5 122.6 20 109.2 87.0 93.3 126.0 21 112.9 86.0 93.5 133.7 22 114..0 85.5 93.4 136.1

Linear Algebra: A Modern Introduction

4th Edition

ISBN:9781285463247

Author:David Poole

Publisher:David Poole

Chapter7: Distance And Approximation

Section7.3: Least Squares Approximation

Problem 31EQ

See similar textbooks

Related questions

Question

Statistics Canada produces consumer price indexes for several different categories. Shown here are the percentage changes in consumer price indexes over a period of 22 years for durable goods, semidurable goods, and nondurable goods. Also displayed are the percentage changes in total goods price index. Use these data and multiple regression to develop a model that attempts to predict the total goods index by the other three variables. Comment on the result of this analysis.

Year	Total Goods	Durable Goods	Semidurable Goods	Nondurable Goods
1	85.7	89.4	91.9	83.2
2	86.4	90.4	92.5	83.8
3	87.8	92.5	93.4	85.2
4	86.8	96.0	94.2	81.6
5	88.4	99.0	94.9	82.9
6	89.9	100.8	95.4	84.4
7	91.2	101.6	97.0	86.0
8	91.4	101.5	97.7	86.1
9	93.1	101.5	99.2	88.4
10	96.0	100.8	99.6	93.3
11	98.4	100.1	100.3	97.4
12	100	100	100	100
13	101.9	99.2	98.6	104.3
14	103.4	97.5	98.2	107.9
15	105.8	96.9	97.7	112.6
16	107.1	96.2	96.2	115.9
17	108.0	94.7	96.0	118.4
18	109.4	89.7	94.5	124.5
19	107.6	86.9	94.5	122.6
20	109.2	87.0	93.3	126.0
21	112.9	86.0	93.5	133.7
22	114..0	85.5	93.4	136.1

Expert Solution

Step by step

Solved in 3 steps with 2 images

SEE SOLUTION Check out a sample Q&A here

Knowledge Booster

$Time Series Analyses, Forecasting Methods, and Indices$

Learn more about

Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, statistics and related others by exploring similar questions and additional content below.

Similar questions