Question: In a data set about cars, we will create a model that predicts the fuel economy , measured in miles per gallon (mpg). The independent
In a data set about cars, we will create a model that predicts the fuel economy, measured in miles per gallon (mpg). The independent variables are
- Weight of car (in thousand pounds)
- Transmission (Automatic or Manual)
The output from the creation of a model to predict mpg is given below.
| Variable | Estimate of coefficient | p-value |
| (intercept) | 32 | Less than 0.0001 |
| weight (thousand pounds) | -4 | Less than 0.0001 |
| Manual Transmission (dummy variable) | 15 | 0.0016 |
| weight : Manual Transmission | -5 | 0.0010 |
What can we conclude from the model above?
Question 1 options:
|
| On average, cars with manual transmissions have a higher fuel economy than cars of the same weight that have automatic transmissions. |
|
| An increase in weight by 1000 pounds will change the fuel economy about the same for cars with manual and automatic transmissions. |
|
| Both of the above can be concluded by the given model output. |
|
| None of the above. |
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