F-statistic: 13.1 on 5 and 1490 DF, p-value: 1.662e-12 Answer the following ques
ID: 3269499 • Letter: F
Question
F-statistic: 13.1 on 5 and 1490 DF, p-value: 1.662e-12
Answer the following questions:
1)What is the effect of cigarette prices on smoking?
2)Do you think cigarettes and beer are complements or substitutes?
3)How do household size, family income and age affect cigarette smoking?
***Please do not use the answer previously used for these questions on Chegg!!****
> summary(model) Call: lm(formula = Data_Project$cig ~ Data_Project$age + Data_Project$hsize + Data_Project$fam_inc + Data_Project$age + Data_Project$beerprice + Data_Project$cigprice) Residuals: Min 1Q Median 3Q Max -9.597 -5.461 -3.730 0.266 94.443 Coefficients: Estimate Std. Error t value Pr(>|t|) (Intercept) 14.174563 2.471953 5.734 1.18e-08 *** Data_Project$age -0.119862 0.019404 -6.177 8.41e-10 *** Data_Project$hsize -0.338563 0.213941 -1.583 0.1137 Data_Project$fam_inc -0.017481 0.004461 -3.918 9.31e-05 *** Data_Project$beerprice 0.246440 0.230481 1.069 0.2851 Data_Project$cigprice -0.999028 0.505246 -1.977 0.0482 * --- Signif. codes: 0 ‘***’ 0.001 ‘**’ 0.01 ‘*’ 0.05 ‘.’ 0.1 ‘ ’ 1 Residual standard error: 9.86 on 1490 degrees of freedom Multiple R-squared: 0.04211, Adjusted R-squared: 0.0389F-statistic: 13.1 on 5 and 1490 DF, p-value: 1.662e-12
Answer the following questions:
1)What is the effect of cigarette prices on smoking?
2)Do you think cigarettes and beer are complements or substitutes?
3)How do household size, family income and age affect cigarette smoking?
***Please do not use the answer previously used for these questions on Chegg!!****
Explanation / Answer
1) H0: There is not effect of cigarette prices on smoking
H1: There is effect of cigarette prices on smoking
The P-value of Cigarette Price is 0.0482 < alpha 0.05,
So, we reject H0, thus we conclude that there is effect of cigarette prices on smoking
2) H0: There is not effect of beer prices on smoking
H1: There is effect of beer prices on smoking
The P-value of beer Price is 0.2851 > alpha 0.05,
So, we do not reject H0, thus we conclude that there is not effect of beer prices on smoking
3) P-value of F = 1.662e-12 < alpha 0.05,
So, we reject H0, thus we conclude that all the variables are effect on smoking
i.e. the regression equation is best fit to the given data