Question

how to interpret this coefficient table?

Coefficients Unstandardized Standardized Coefficients Beta Coefficients Collinearity Statistics Model Std. Error Sig. Tolerance VIF 232757 49 000 -010992 Constant) NUMBER OF HOURS USUALLY WORK A WEEK RESPONDENT INCOME IN CONSTANT DOLLARS AGE OF RESPONDENT .175 3.748E-5 004 933 1.072 -2.266E-7 004136 892 909 1.100 047 004 361 11.652 000 974 1.027 a. Dependent Variable: NUMBER OF CHILDREN

Answer 1

Solution:

The dependent variable for the given regression model is given as number of children. There are three independent variables in this regression model which are given as the number of hours usually work a week, respondent income in constant dollars, and age of respondent. The required regression equation is given as below:

Number of Children = -0.175 – 0.00003748*Number of hours work in a week – 0.0000002266*Income + 0.047*age

Y = -0.175 – 0.00003748*X1 – 0.0000002266*X2 + 0.047*X3

Note: -3.748E-5 = 0.00003748

There is a decrement of 0.00003748 in number of children when number of work hours increases by 1 assuming all other variables constant.

There is a decrement of 0.0000002266 in number of children when income is increases by $1 assuming all other variables constant.

There is an increment of 0.047 in number of children when age is increases by 1 year assuming all other variables constant.

The independent variable age is statistically significant because corresponding p-value is given as 0.00.

The independent variables number of hours work a week and respondent income are not statistically significant as corresponding p-values are given as 0.992 and 0.892 which are greater than alpha value 0.05.

Also, y-intercept or the constant is not statistically significant because p-value is given as 0.449 which is greater than alpha value 0.05.