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TABLE 17-9
What are the factors that determine the acceleration time (in sec.)from 0 to 60 miles per hour of a car? Data on the following variables for 171 different vehicle models were collected:
Accel Time: Acceleration time in sec.
Cargo Vol: Cargo volume in cu.ft.
HP: Horsepower
MPG: Miles per gallon
SUV: 1 if the vehicle model is an SUV with Coupe as the base when SUV and Sedan are both 0
Sedan: 1 if the vehicle model is a sedan with Coupe as the base when SUV and Sedan are both 0
The regression results using acceleration time as the dependent variable and the remaining variables as the independent variables are presented below. The various residual plots are as shown below.
The coefficient of partial determination (
)of each of the 5 predictors are,respectively,0.0380,0.4376,0.0248,0.0188,and 0.0312.
The coefficient of multiple determination for the regression model using each of the 5 variables Xj as the dependent variable and all other X variables as independent variables ( )are,respectively,0.7461,0.5676,0.6764,0.8582,0.6632.
-Referring to Table 17-9,what is the p-value of the test statistic to determine whether MPG makes a significant contribution to the regression model in the presence of the other independent variables at a 5% level of significance?
Gross Investment
The total amount of investment in the economy, including investments in the replacement and acquisition of capital assets before accounting for depreciation.
Depreciation
Depreciation is the accounting process of allocating the cost of a tangible or physical asset over its useful life, reflecting the loss of value over time.
Great Recession
A significant decline in economic activity spread across the economy, lasting more than a few months, typically visible in real GDP, real income, employment, industrial production, and wholesale-retail sales, specifically referring to the global economic downturn that began in 2007 and lasted until 2009.
Real GDP
A measure of a country's economic output adjusted for price changes (inflation or deflation), providing a more accurate reflection of an economy's size and growth rate.
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