Question: could you expalin Start with the equation: ln(y) = b0 + b1x Rewrite: y = exp(b0 + b1x) Take the derivative with respect to x
could you expalin Start with the equation: ln(y) = b0 + b1x Rewrite: y = exp(b0 + b1x) Take the derivative with respect to x (i.e. find the slope): dy dx = b1exp(b0 + b1x) Rewrite: dy dx = b1y Rewrite to see how a change in x associates with a change in y: dy y = b1dx A percent change in y is 100 dy y . For example, if the market value of the lobster harvest goes from $50.0 million to $50.7 million that is a 1.4% increase: 1.4 = 100 dy y = 100 0.7 50 . Hence, dy y = b1dx says that 100b1 can be interpreted as the percent change in y given a unit change in x: 100 dy y = 100b1dx
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