Exam 14: Multiple Regression and Correlation Analysis

The production of automobile tires in any given year is related to the number of automobiles produced this year and in prior years.Suppose our econometric model resulted in the following data. What is the proportion of variation in tires produced by our predictor variables in the model? ________

Homoscedasticity occurs when the variance of the residuals (Y - )is different for different values of .

Multiple regression analysis is used when two or more independent variables are used to predict a value of a single dependent variable.

In a multiple regression analysis with two independent variables,the multiple standard error of estimate measures the variation of the dependent variable about a regression plane.

The coefficient of multiple determination reports the strength of the association between a dependent variable and a set of independent variables.

A coefficient of multiple determination could be equal to -0.76.

A real estate agent developed a model to relate a house's selling price (Y)to the area of floor space (X)and the area of floor space squared .The multiple regression equation for this model is: where: = selling price (times $1000) X = square feet of floor space (times 100) What is the difference in selling prices of a house with 1600 square feet and one with 1700 square feet? ______

What can we conclude if the global test of regression does not reject the null hypothesis?

In multiple regression analysis,a and b₁ are sample statistics that estimate the population parameters, $\alpha$ and $\beta$ ₁.

Multiple regression analysis is used when one independent variable is used to predict values of two or more dependent variables.

If the null hypothesis,H_o: $\beta$ ₄ = 0 ,is not rejected,what effect does the independent variable,X₄,have when predicting the dependent variable? ______

It has been hypothesized that overall academic success for college freshmen as measured by grade point average (GPA)is a function of IQ scores ,hours spent studying each week ,and one's high school average .Suppose the regression equation is: .The multiple standard error is 6.313 and = 0.826. How will a student's GPA be affected if an additional hour is spent studying each weeknight? ________

It has been hypothesized that overall academic success for college freshmen as measured by grade point average (GPA)is a function of IQ scores ,hours spent studying each week ,and one's high school average .Suppose the regression equation is: .The multiple standard error is 6.313 and = 0.826. How many dependent variables are in the regression equation? ___

Twenty-one executives in a large corporation were randomly selected for a study to determine the effect of several factors on annual salary (expressed in $000's).The factors selected were age,seniority,years of college,number of company divisions they had been exposed to and the level of their responsibility.A regression analysis was performed using a popular spreadsheet program with the following regression output: If the other variables are held constant,how does an increase of one level of responsibility affect salary? ___________

When does multicollinearity occur in a multiple regression analysis?

In multiple regression analysis,a residual is the difference between the value of a dependent variable,Y,and its predicted value, .

The following correlations were computed as part of a multiple regression analysis that used education,job,and age to predict income. What is this table called?

If a dependent variable and one or more independent variables are inversely related,what is the sign for the regression coefficients of the independent variables? ______________

For a global test of a multiple regression equation,the F-statistic is based on the regression and residual degrees of freedom.

A manager at a local bank analyzed the relationship between monthly salary and three independent variables: length of service (measured in months),gender (0 = female,1 = male)and job type (0 = clerical,1 = technical).The following ANOVA summarizes the regression results: The degrees of freedom used to test all hypotheses about the individual regression coefficients is