TABLE 14-4 A Real Estate Builder Wishes to Determine How House Size

question 111

Multiple Choice

TABLE 14-4
A real estate builder wishes to determine how house size (House) is influenced by family income (Income) , family size (Size) , and education of the head of household (School) . House size is measured in hundreds of square feet, income is measured in thousands of dollars, and education is in years. The builder randomly selected 50 families and ran the multiple regression. Microsoft Excel output is provided below:
SUMMARY OUTPUT
Regression Statistics
ANOVA

-Referring to Table 14-4, which of the independent variables in the model are significant at the 2% level?

• A) Income, Size, School
• B) Income, Size
• C) Size, School
• D) Income, School

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Definitions:

Common Resource

A resource like fish stocks, forests, or clean air, that provides users with tangible benefits but is susceptible to overuse and depletion.

Public Good

An offering of products or services to every member of society at no cost, provided by either governmental bodies or private organizations, without aiming for financial gain.

Not Excludable

A characteristic of certain goods where it is not feasible to prevent individuals from consuming the good, such as public parks.

Not Rival

Refers to a good's characteristic where one person's consumption does not reduce the availability of the good for consumption by others.