# Question

Much attention has been paid to the challenges faced by the airline industry. Patterns in customer demand are an important variable to watch. The scatterplot below, created in Excel, shows the number of passengers departing from Oakland ( CA) airport month by month since the start of 1997. Time is shown as years since 1990, with fractional years used to represent each month. (Thus, June of 1997 is 7.5— halfway through the 7th year after 1990.) www.oaklandairport.Com

Here’s a regression and the residuals, created in Excel 2013, plotted against Years since 1990:

a) Interpret the slope and intercept of the regression model.

b) What does the value of R2 say about how successful the model is?

c) Interpret se in this context.

d) Compute the Durbin- Watson statistic and comment.

e) Would you use this model to predict the numbers of passengers in 2010 (Years Since1990 = 20)? Explain.

f) There’s a point near the middle of this time span with a large negative residual. Can you explain this outlier?

Here’s a regression and the residuals, created in Excel 2013, plotted against Years since 1990:

a) Interpret the slope and intercept of the regression model.

b) What does the value of R2 say about how successful the model is?

c) Interpret se in this context.

d) Compute the Durbin- Watson statistic and comment.

e) Would you use this model to predict the numbers of passengers in 2010 (Years Since1990 = 20)? Explain.

f) There’s a point near the middle of this time span with a large negative residual. Can you explain this outlier?

## Answer to relevant Questions

The analyst in Exercise tried fitting the regression line to each market segment separately and found the following: What does this say about her concern in Exercise 1? Was she justified in worrying that the overall model ...The original five points in Exercise produce a regression line with slope 0. Match each of the green points (a– e) with the slope of the line after that one point is added: 1) - 0.45 2) - 0.30 3) 0.00 4) 0.05 5) 0.85 In Exercise we looked at the age at which women married as one of the variables considered by those selling wedding services. Another variable of concern is the difference in age of the two partners. The graph shows the ages ...Find the predicted value of y, using each model for x = 10. a) y-hat = 2 + 0.8 ln x b) log y-hat = 5 – 0.23x c) 1/√y-hat = 17.1 – 1.66x Orange growers know that the larger an orange the higher the price it will bring. But as the number of oranges on a tree increases, the fruit tends to be smaller. Here’s a table of that relationship. Create a model for ...Post your question

0