THE NEXT QUESTIONS ARE BASED ON THE FOLLOWING INFORMATION

question 149

Essay

THE NEXT QUESTIONS ARE BASED ON THE FOLLOWING INFORMATION:
As director of the local tourist board,you are interested in determining the factors that influence the hotel occupancy rate in your city each month.Hotel occupancy can be measured as the percentage of available hotel rooms that are occupied by paying customers.You develop the following model: Y = β₀ + β₁X₁ + β₂X₂ + β₃X₃ + β₄X₄ + ε,where Y is the hotel occupancy rate,X₁ is the total number of passengers arriving at the airport,X₂ is a price index of local hotel room rates,X₃ is the consumer confidence index,and X₄ is a dummy variable = 1 during the months of June,July,and August.You look at data from the past 36 months and obtain the following results:
= 67.1 + 0.02x₁ - 0.055x₂ + 0.08x₃ + 12.3x₄,R² = 0.67,
= 58.3,
= 0.008,
= 0.01,
= 0.06,
= 4.7,and SSE = 576.
-Test the hypothesis H₀ : β₁ = 0 and interpret your results.

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Definitions:

King Philip's War

A conflict between American Indian inhabitants of New England and English colonists and their Indian allies from 1675 to 1676.

Native American

Indigenous peoples of the Americas, including various tribes, cultures, and nations inhabiting the continent before European colonization.

Slavery

A system in which individuals are owned by others, deprived of personal freedom, and compelled to perform labor or services.

William Penn

An English Quaker leader and founder of Pennsylvania as a place for religious freedom in the late 17th century.