Question

Colects data on houses that have sold in a perticular neighborhood over the past year and o n the table shown below d Suppose that a researcher c regression results i Regressor Size (0.0c0039) 0.70 0.6 0.73 0.70 in( Siuze) (0.058) (0.088)(2.05) (.056) 0.0081 10.17) 0.0042 (0 041) 0.087 0075 0091 0084 0.082 (0 034) (0.03) (003) (0038) (0.035) 0.028 Pool 0.039 0.028 0028 0028 View (0.032) (0033) (0.028) (0031) (0.032) 0.0027 Pool x View (0.12) 0.150.16 0.14 0.19 (0.046) (0.038 (0.037) (0.035) (0.036) 666 7.07 (0073) (041) (054) 752) (043) 661 11.23 6.65 Intercept Summary Statistics SER 0.105 0.107 0.109 0.099 0.108 0.73 0.74 0.72 0.76 0.75 Vaniable definitions: Price- sale price (S); Size house size (in square f of bedrooms Pool-binary variable (1 if house has a swimming pool, 0 otherwise. View binary variable (1 if house has a nice view, O otherwise): Condition binary agent reports house is in excellent condition, 0 otherwise) feet). Bedrooms number view 0 otherwise) Condition-binary variable (1 if real estate se in price of building a 500-square-foot addition to a house, hok Using the results in olum ( what is the expected increase in price of bulding a s00-squar everything else in the model constant? The expected increase in price of building a 500-square-foot addition to a house is Express your response as a percentage and round to two decimal places) Construct a 95% confidence interval for the percentage change in price. The 95% confidence interval for the percentage change in pnce (Express your response as a percentage and round to two decimal places) Use R to compare the regressions in columns (1) and (2), Is it better to use Size or in(Size) to explain house prices? O A. It is better to use ln(Size) O B. It is better to use Size only if the distribution of house sizes is not normal C. It is better to use Size O D. There is no difference between using Size or In(Size) Using column (2), what is the estimated effect of a pool on price? The house price is estimated to increase by

Answer 1

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