Instruction 13-11 An Econometrician Is Interested in Evaluating the Relation of Demand

question 133

Short Answer

Instruction 13-11
An econometrician is interested in evaluating the relation of demand for building materials to mortgage rates in Sydney and Melbourne.He believes that the appropriate model is
Y = 10 + 5X₁ + 8X₂
where X₁ = mortgage rate in %
X₂ = 1 if Sydney,0 if Melbourne
Y = demand in $100 per capita
-Referring to Instruction 13-11,the predicted demand in Melbourne when the mortgage rate is 8% is ________ per capita.

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Definitions:

Computer-mediated Groups

Teams or groups that interact primarily through digital technologies rather than face-to-face.

Face-to-face Groups

Social or work groups that interact directly and in person, as opposed to virtually or remotely.

Communication Medium

The method or technology used to convey messages between individuals or groups.

Web Media

Digital forms of communication and content delivery over the Internet, including websites, streaming services, and social media platforms.