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SCENARIO 18-9 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. SCENARIO 18-9 cont. The various residual plots are as shown below.
SCENARIO 18-9 cont.
SCENARIO 18-9 cont.
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
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 Scenario 18-9, there is enough evidence to conclude that Cargo Vol makes a significant contribution to the regression model in the presence of the other independent variables at a 5% level of significance.
Marginal Income Tax Rates
The percentage of tax applied to your income for each tax bracket in which you qualify, reflecting the amount of tax that is paid on an additional dollar of income.
Open-Market Operations
The purchase or sale of Treasury securities by the Federal Reserve; main monetary policy weapon.
Theories Of Expectations
Various economic theories that attempt to predict how rational individuals form their expectations about future events, affecting their economic decisions.
Adaptive Expectations Theory
An economic theory that proposes individuals adjust their expectations for the future based on recent past experiences and events.
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