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A traffic consultant has analysed the factors that affect the number of traffic fatalities. She has come to the conclusion that two important variables are the number of cars and the number of tractor-trailer trucks. She proposed the second-order model with interaction: .
Where:
y = number of annual fatalities per shire. = number of cars registered in the shire (in units of 10 000). = number of trucks registered in the shire (in units of 1000).
The computer output (based on a random sample of 35 shires) is shown below.
THE REGRESSION EQUATION IS . S = 15.2 R-Sq = 47.2%.
ANALYSIS OF VARIANCE Test at the 1% significance level to determine whether the interaction term should be retained in the model.
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