Economist Joshua Grant Is Using Linear Regression to Try to Establish

Multiple Choice

Economist Joshua Grant is using linear regression to try to establish a link between the unemployment rate (x) and monthly home sales in the region (y) .The following data are available: The slope term (b) in the estimated regression equation is -8.The intercept term (a) is 237.Construct a 95% confidence interval estimate of E(y₅) , the expected number of for months in which the unemployment rate is price is 5 percent.Report the upper bound for the interval.

A) 326.4
B) 205.7
C) 289.3
D) 227.5
E) 301.6