The Interpretation of the Slope Coefficient in the Model $\ln \left( Y _ { i } \right) = \beta _ { 0 } + \beta _ { 1 } \ln \left( X _ { i } \right) + u _ { i }$

question 43

Multiple Choice

The interpretation of the slope coefficient in the model $\ln \left( Y _ { i } \right) = \beta _ { 0 } + \beta _ { 1 } \ln \left( X _ { i } \right) + u _ { i }$
is as follows:

• A) a 1 % change in X is associated with a \(\beta _ { 1 } \%\) change in Y .
• B) a change in X by one unit is associated with a \(\beta _ { 1 }\) change in Y .
• C) a change in X by one unit is associated with a 100 \(\beta _ { 1 } \%\) change in Y .
• D) a 1 % change in X is associated with a change in Y of 0.01 \(\beta _ { 1 }\)

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Definitions:

Institutional Settings

The structured and established environments, including rules, roles, and norms, where organized social, educational, or professional activities take place.

Official Tasks

Responsibilities or duties formally assigned to an individual or organization by an authority.

Institutional Setting

The context or environment defined by established organizations or structures in which activities and interactions take place.

Ethnomethodological

Pertains to a sociological perspective focusing on how people make sense of their everyday lives and the methods they use to interact with one another.