3. a) Data on quantity demanded of a commodity (in Kg), price of that commodity (in USD) and the level of income (in USD

[answerhappygod]

3 A Data On Quantity Demanded Of A Commodity In Kg Price Of That Commodity In Usd And The Level Of Income In Usd 1 (472.97 KiB) Viewed 13 times

3. a) Data on quantity demanded of a commodity (in Kg), price of that commodity (in USD) and the level of income (in USD) are given below along with yixi. YiX21, X1X2, X,X₂i² 2 2 Where, X=(Yi-Y) X₁=(X₁-X) X21=(X21-X) Let the demand function is given by Q = Bo + B₁X₁ + B₂ X2 Regression sum of square: 3300.886 Quantity Demanded 228228228KS 100 70 90 100 110 75 Residual sum of square: Total sum of square: 65 Price (X₁) 5 6 755 5 9 67 Sum: 940 73 Y-78.333 X₁ =6.08333 365.781 3666.667 Income (X₂) 1000 600 1200 500 300 400 1300 1100 1300 300 450 350 8800 X₂=733.333 2 XIi + B2 X2 (.0008) (1.756) t (6.138) (-3.466) d) Test the null hypothesis B₁-0 and B2=0 e) Interpret ß₁ and ₂ 2 yixli yixzi X1iX2i -23.4722 5777.779 -288.889 1.17361 71111.13 -3.05555 444.4439 -122.222 0.840278 17777.77 -0.13889 777.7794 -38.8887 0.006944 217777.8 0.694441 1944.443 19.44436 0.006944. 54444.43 -54.3056 12277.78 -830.556 3.673612 187777.7 -12.2222 4444.443 -305.556 0.840278 111111.1 6611.113 -613.889 1.17361 321111.1 -12.6389 -45.1389 7944.446 -763.889 4.340276 134444.5 -97.6389 17944.45 -1747.22 9.506942 321111.1 -53.4722 7944.442 -1263.89 8.506946 187777.7 0.277776 944.4434 23.61101 0.006944 80277.76 -12.2222 5111.109 -351.389 0.840278 146944.4 -313.333 72166.67 -6283.33 30.91667 1851667 a) Find out the value of B₁ and 3₂(5) b) Calculate the value of the coefficient of determination from the following information and comment on your obtaining the results. Find out adjusted R² c) From the following information find out the confidence interval for Price and Income. Q = Bo + B₁X₁ SE (18.067) (2.058) X21 (5+3+2+2+3)