Suppose Mai estimates two demand curves, one for data collected over a two-week period for her stores in two towns (Town 1 and Town 2). These demand curves result from regression equations in which Mai estimates quantity demanded as a function of price and no other variables. However, Mai recognized that other variables, such as sunshine or temperature, may affect the demand for pie. Collecting this data requires effort. In which town should collecting such data be a higher priority for Mai if she is trying to improve her ability to predict pie demand? Explain. Suppose the R2 statistic for the regression for Town 1 is 0.58 and for Town 2 is 0.97. A regression's R2 statistic is a measure of {:3 A. mean value. {:3 B. national representativeness. {:3 C. goodness of t. {:3 D. functional form. Town 1 p, $ per pie 20 . II . I'll 00 Q, Thousands of0 pies per month 40 Town 2 p, $ per pie 0 10 20 30 40 Q, Thousands of pies per month