An analyst believes that the amount of time an individual listens to Justin Bieb
ID: 3057879 • Letter: A
Question
An analyst believes that the amount of time an individual listens to Justin Bieber depends on whether the individual lives in London, Ontario and the age of the individual. Speci?cally, the analyst considers an economic model
• M denotes the number of minutes per week an individual spends listening to Bieber.
• Lon is a variable that is 1 if the individual lives in London, and 0 otherwise.
• age is the age of the individual in years.
i.The cousin of the analyst speci?es a di?erent economic model,
The variable NoLon is 1 if the individual does not live in London, and 0 otherwise. In terms of a parameter or parameters of the economic model, please calculate the change in M if an individual who lives in London moves away, all else equal.
ii. The cousin of the analyst tries to estimate this second model by regressing M on Lon, NoLon, age, and agesq, where agesq is a variable constructed as the square of age. Does assumption MLR.3 make sense here?
iv.Has anything in this question described a dataset or anything statistical? If so, please describe what.
M = 30 + 34 Lon + Brage + B3age? +Explanation / Answer
An analyst believes that the amount of time an individual listens to Justin Bieber depends on whether the individual lives in London, Ontario and the age of the individual. Speci?cally, the analyst considers an economic model
• M denotes the number of minutes per week an individual spends listening to Bieber.
• Lon is a variable that is 1 if the individual lives in London, and 0 otherwise.
• age is the age of the individual in years.
i.The cousin of the analyst speci?es a di?erent economic model,
The variable NoLon is 1 if the individual does not live in London, and 0 otherwise. In terms of a parameter or parameters of the economic model, please calculate the change in M if an individual who lives in London moves away, all else equal.
ii. The cousin of the analyst tries to estimate this second model by regressing M on Lon, NoLon, age, and agesq, where agesq is a variable constructed as the square of age. Does assumption MLR.3 make sense here?
iv.Has anything in this question described a dataset or anything statistical? If so, please describe what.
M = 30 + 34 Lon + Brage + B3age? +