Hello, I have several problems like this in my homework. I need to show "by hand" each step and each calculation. If you could use this problem and show my each step for A and B. I would really appreciate it. If you feel uncomfortable answering a question from my assignment, please feel free to show me using different values. I just need to see each step. Thanks so much, Alex

An economist is interested to see how consumption for an economy (in $ billions) is influenced by gross domestic product ($ billions) and aggregate price (consumer price index). The Microsoft Excel output of this regression is partially reproduced below.

SUMMARY OUTPUT

Regression Statistics

Multiple R 0.991

R Square 0.982

Adjusted R Square 0.976

Standard Error 0.299

Observations 10

ANOVA

df SS MS F Signif F

Regression 2 33.4163 16.7082 186.325 0.0001

Residual 7 0.6277 0.0897

Total 9 34.0440

Coeff StdError t Stat P-value

Intercept 0.0861 0.5674 0.152 0.8837

GDP 0.7654 0.0574 13.340 0.0001

Price 0.0006 0.0028 0.219 0.8330

A) What is the predicted consumption level for an economy with GDP equal to $4 billion and an aggregate price index of 150?

B) What is the estimated average consumption level for an economy with GDP equal to $4 billion and an aggregate price index of 150?