A Real Estate Analyst Believes That the Three Main Factors

question 16

Multiple Choice

A real estate analyst believes that the three main factors that influence an apartment's rent in a college town are the number of bedrooms,the number of bathrooms,and the apartment's square footage.For 40 apartments,she collects data on the rent (y,in $) ,the number of bedrooms (x₁) ,the number of bathrooms (x₂) ,and its square footage (x₃) .She estimates the following model: Rent = β₀ + β₁ Bedroom + β₂ Bath + β₃Sqft + ε.The following table shows a portion of the regression results. When testing whether the explanatory variables jointly influence the response variable,the null hypothesis is ________.

• A) H₀: β₀ = β₁ = β₂ = β₃ = 0
• B) H₀:β₁ = β₂ = β₃ = 0
• C) H₀: β₀ + β₁ + β₂ + β₃ = 0
• D) H₀:β₁ + β₂ + β₃ + 0

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Definitions:

Diffusion of Responsibility

The tendency for individuals to feel less accountable for their actions or inaction when others are present, often leading to reduced help or intervention.

Cognitive Dissonance

The mental discomfort experienced by a person who holds two or more contradictory beliefs, ideas, or values at the same time.

Bystander Apathy

A psychological phenomenon where individuals are less likely to offer help to a victim when other people are present, often due to the diffusion of responsibility.

Kitty Genovese

A woman whose 1964 murder in New York City led to research on the bystander effect and social psychology.