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What predicts the amount of time that people spend on the Internet? Based on 2016 GSS data, the regression of hours per week on the Internet (Y) on age, education (number of years completed), and verbal ability (number of correct words on a ten-item vocabulary test) produced the following equation:
Y = 9.327 - .161Age + .348Educ + .489Verbal
a. Explain the meaning of the regression coefficient for Educ (years of education completed)?
b. How much does hours on the Internet change for each increase of one year in a respondent's age?
c. Calculate the number of hours per week on the Internet for a 30-year-old with 16 years of education who got all ten words correct on the vocabulary test.
Using standardized regression coefficients, the multiple regression of Internet hours has the following values (all coefficients are statistically significant):
Y = - .179Age + .065Educ + .064Verbal
d. Which variable has the largest effect on weekly hours on the Internet?
Fixed Costs
Expenses that do not change regardless of the level of production or sales activity, such as rent, salaries, and insurance.
Variable Costs
Costs that fluctuate with changes in production volume, including expenses like raw materials and direct labor.
Average Fixed Inspection Cost
A cost that remains constant per unit but varies in total, associated specifically with the inspection process in manufacturing or quality control.
Fixed Inspection Cost
A fixed cost associated with quality inspections that does not change with the level of production or services.
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