Question

• regress lnMedInc in NumHH Source SS df MS Model Residual 1.92343603 8.48203352 1 364 1.92343603 02330229 Number of obs F(1,

  1. What does the coefficient estimate for lnNumHH tell you?

  1. Do you think there is a problem with the regression, if so what is the problem?
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Answer #1

the coefficient estimate of lnNumHH shows that the regression line between lnMedInc is

lnMedInc = 9.970305 + 0.0689142( lnNumHH )

its howa that an increase in the value of lnNumHH will increace the absolute value of constant by 0.0689142.

the problem with the regression is both the variables lnMedInc and lnNumHH will explain the entire model by R-squared value 0.1848

Its mean the model of regression is not a good model because of both the variable lnMedInc and lnNumHH explained the entire model by 18.48%

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