Question: Given the linear regression equation x 1 = 1.6 + 3.5x 2 7.9x 3 + 2.0x 4 (a) Which variable is the response variable?

Given the linear regression equation

x1 = 1.6 + 3.5x2 – 7.9x3 + 2.0x4

(a) Which variable is the response variable? Which variables are the explanatory variables?

(b) Which number is the constant term? List the coef­ficients with their corresponding explanatory variables.

(c) If x2 = 2, x3 = 1, and x4 = 5, what is the predicted value for x1?

(d) Explain how each coef­ficient can be thought of as a “slope” under certain conditions. Suppose x3 and x4 were held at ­xed but arbitrary values and xwas increased by 1 unit. What would be the corresponding change in x1?

Suppose x2 increased by 2 units. What would be the expected change in x1? Suppose x2 decreased by 4 units. What would be the expected change in x1?

(e) Suppose that n = 12 data points were used to construct the given regression equation and that the standard error for the coef­ficient of x2 is 0.419.

Construct a 90% confidence interval for the coefficient of x2.

(f) Using the information of part (e) and level of signifi­cance 5%, test the claim that the coeffi­cient of x2 is different from zero. Explain how the conclusion of this test would affect the regression equation.

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