Stats Question : The Organisation for Economic Co-operation and Development coll
ID: 3439953 • Letter: S
Question
Stats Question :
The Organisation for Economic Co-operation and Development collects data on Main Economic Indicators (MEIs) for many countries. Each variable is recorded as an index with the year 2000 serving as a base year. This means that the variable for each year is reported as a ratio of the value for the year divided by the value for 2000. Use of indices in this way makes it easier to compare values for different countries. The following table gives the values of three MEIs for 21 countries:
1.) What is the predicted value of production for a country that has an index of 160 for dwelling permits?
(Use decimal notation. Give your answer with tolerance = ±1.)
Predicted value of production = .
2. )The country with ID = 15 has an index of 160 for dwelling permits. Find the residual for this country.
Residual is actual value minus predicted value.
(Use decimal notation. Give your answer with tolerance = ±1.)
Please someone help if you can; thanks
Country ID Dwelling permits Sales Production 1 116 135 107 2 127 101 112 3 226 121 103 4 176 130 160 5 124 127 113 6 100 140 123 7 148 119 104 8 55 96 116 9 114 133 100 10 109 141 156 11 91 125 142 12 90 96 108 13 158 106 153 14 148 161 119 15 160 103 112 16 125 135 109 17 122 139 92 18 163 142 155 19 55 117 108 20 123 122 103Explanation / Answer
Thus the fitted equation is :
Prod. = 91.00 + 0.0736 (DP) + 0.1561(sales)
Note that we have assumed that sales too is an indepedent variable.
Dwelling permit = 160, Sales = 103
Predicted value = 118.86
Residual = -6.8686
This can be obtained from the residual output table.
Hope this helps.
Country ID Dwelling permits Sales Production 1 116 135 107 2 127 101 112 3 226 121 103 4 176 130 160 5 124 127 113 6 100 140 123 7 148 119 104 8 55 96 116 9 114 133 100 10 109 141 156 11 91 125 142 12 90 96 108 13 158 106 153 14 148 161 119 15 160 103 112 16 125 135 109 17 122 139 92 18 163 142 155 19 55 117 108 20 123 122 103