$10.$ The demand function for good Xsi nI Q: $=$ a $+$ b nI Px$+$c nI M et$,$ where rP si the price of good Xand Mis income. Least squares regression reveals that $=7\mathrm{.}42,6=-21\mathrm{.}8,$ and $^=0\mathrm{.}34.$

$.$a fI M$=55,000$ and P$,=4\mathrm{.}39,$ compute the own price elasticity of demand based on these estimates. Determine whether demand si elastic or inelastic.

b$.$ fI M$=55,000$ and P$,=4\mathrm{.}39,$ compute hte income elasticity of demand based on these estimates. Determine whether Xsi a normal or inferior

$\mathrm{.}9$ The demand function ofr good Xsi Q: $=$ a $+$bP$,+$ M$+$e$,$ wher P$,$ sieht price of good Xand Msi income. Least squares regression reveals that $=8\mathrm{.}27,6=-2\mathrm{.}14,6=0\mathrm{.}36,$a$0=53\mathrm{.}2,\%0=04\mathrm{.}1,$ dna:$0=0\mathrm{.}22.$ The R$-$squared si $0\mathrm{.}35.$

a$.$ Compute the $1-$statistic for each of the estimated coefficients.

good.