Chapter 10, Problem 14

The file P02_12.xlsx includes data on the 50 top graduate programs in the United States, according to a recent U.S. News & World Report survey. Columns B, C, and D contain ratings: an overall rating, a rating by peer schools, and a rating by recruiters. The other columns contain data that might be related to these ratings.

A.Find a table of correlations between all of the numerical variables. From these correlations, which variables in columns E-L are most highly correlated with the various ratings?

B.For the Overall rating, run a regression using it as the dependent variable and the variable (from columns E-L) most highly correlated with it. Interpret this equation. Could you have guessed the value of R² before running the regression? Explain. What does the standard error of estimate indicate?

C.Repeat part b with the Peers ratings as the dependent variable. Repeat again with the Recruiters rating as the dependent variable. Discuss any differences among the three regressions in part b and c.

School Overall Peers Recruiters GPA GMAT Accept Rate Salary Employed1 Employed2 Out of State Enrollment 2 Harvard University (MA) 100 4.8 4.5 3.66 720 11.5% $144,261 87.0% 93.3% $50,830 1,801 3 Stanford University (CA) 99 4.8 4.5 3.64 726 7.5% $140,771 82.5% 92.6% $48,921 740 4 Northwestern University (Kellogg) (IL) 93 4.7 4.3 3.51 710 19.4% $130,365 89.3% 94.4% $46,791 1,254 5 University of Pennsylvania (Wharton) 93 4.8 4.3 3.50 714 16.3% $136,676 84.6% 89.1% $53,030 1,611 6 Massachusetts Institute of Technology (Sloan) 92 4.8 4.3 3.54 708 15.0% $131,087 79.0% 90.3% $47,034 788 University of Chicago 92 4.7 4.3 3.50 713 21.9% $130,839 87.4% 92.2% $47,938 1,144 8 University of California-Berkeley (Haas) 89 4.6 4.0 3.56 714 11.7% $126,886 85.1% 91.2% $40,605 500 9 Dartmouth College (Tuck) (NH) 87 4.3 4.1 3.44 712 16.0% $133,407 85.0% 93.6% $45,900 506 10 Columbia University (NY) 86 4.5 4.1 3.40 709 15.1% $130,281 78.2% 92.2% $48,566 1,234 Yale University (CT) 85 4.3 4.0 3.52 718 14.4% $117,366 75.6% 94.8% $47,300 382 12 New York University (Stern) 83 4.3 3.9 3.43 708 13.6% $128,968 82.0% 91.7% $43,942 841 13 Duke University (Fuqua) (NC) 82 4.4 4.0 3.40 696 30.4% $122,742 83.3% 91.7% $45,813 875 14 University of Michigan-Ann Arbor 81 4.4 4.0 3.32 706 20.1% $125,773 82.4% 85.3% $45,439 843 15 University of California-Los Angeles (Anderson) 80 4.2 3.9 3.50 711 19.5% $117,253 74.2% 88.9% $38,563 731 16 Carnegie Mellon University (PA) 79 4.0 3.8 3.35 690 28.3% $122,944 94.0% 96.2% $48,204 392 17 University of Virginia (Darden) 79 4.1 4.0 3.35 693 24.6% $126,362 85.1% 90.8% $45,500 644 18 Cornell University (Johnson) (NY) 78 4.2 3.9 3.30 697 20.6% $122,776 80.7% 90.7% $46,510 593 19 University of Texas-Austin (Mccombs) 74 4.0 3.8 3.39 681 26.7% $116,484 82.4% 88.7% $40,900 540 20 Georgetown University (McDonough) (DC) 71 3.6 3.6 3.35 678 30.2% $114,463 87.9% 98.2% $41,934 522 21 University of North Carolina-Chapel Hill (Kenan-Flagler) 70 4.0 3.8 3.30 678 34.3% $110,202 78.5% 86.5% $42,239 562 22 University of Southern California (Marshall) 70 3.9 3.5 3.32 692 23.0% $104,382 80.1% 93.7% $44,502 426 23 Emory University (Goizueta) (GA) 69 3.8 3.7 3.40 680 28.1% $108,107 70.7% 86.0% $41,428 373 24 Georgia Institute of Technology (Dupree) 69 3.3 3.5 3.40 681 30.1% $105,266 92.7% 100.0% $32,076 154 25 Indiana University-Bloomington (Kelley) 69 3.8 3.7 3.35 663 34.0% $109,329 82.3% 89.7% $38,221 474\f