Suppose that you've been asked by the San Diego Padres baseball team to evaluate the economic...

  

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Suppose that you've been asked by the San Diego Padres baseball team to evaluate the economic impact of their new stadium by ana- lyzing the team's attendance per game in the last year at their old stadium. After some research on the topic, you build the following model (standard errors in parentheses): ATT, = 25000 + 15000WIN; + 4000 FREE, - 3000DAY, - 12000WEEK; (2000) R? = .41 (15000) N = 35 (3000) (3000) where: ATT, = the attendance at the ith game WIN; = the winning percentage of the opponent in the ith game FREE; = a dummy variable equal to 1 if the ith game was a "promotion" game at which something was given free to each fan, 0 otherwise = a dummy variable equal to 1 if the ith game was a day game and equal to 0 if the game was a DAY, night or twilight game WEEK; = a dummy variable equal to 1 if the ith game was during the week and equal to 0 if it was on the weekend a. You expect the variables WIN and FREE to have positive coeffi- cients. Create and test the appropriate hypotheses to evaluate these expectations at the 5-percent level. b. You expect WEEK to have a negative coefficient. Create and test the appropriate hypotheses to evaluate these expectations at the 1-percent level. c. You've included the day game variable because your boss thinks it's important, but you're not sure about the impact of day games on attendance. Run a two-sided t-test around zero to test these expec- tations at the 5-percent level. Suppose that you've been asked by the San Diego Padres baseball team to evaluate the economic impact of their new stadium by ana- lyzing the team's attendance per game in the last year at their old stadium. After some research on the topic, you build the following model (standard errors in parentheses): ATT, = 25000 + 15000WIN; + 4000 FREE, - 3000DAY, - 12000WEEK; (2000) R? = .41 (15000) N = 35 (3000) (3000) where: ATT, = the attendance at the ith game WIN; = the winning percentage of the opponent in the ith game FREE; = a dummy variable equal to 1 if the ith game was a "promotion" game at which something was given free to each fan, 0 otherwise = a dummy variable equal to 1 if the ith game was a day game and equal to 0 if the game was a DAY, night or twilight game WEEK; = a dummy variable equal to 1 if the ith game was during the week and equal to 0 if it was on the weekend a. You expect the variables WIN and FREE to have positive coeffi- cients. Create and test the appropriate hypotheses to evaluate these expectations at the 5-percent level. b. You expect WEEK to have a negative coefficient. Create and test the appropriate hypotheses to evaluate these expectations at the 1-percent level. c. You've included the day game variable because your boss thinks it's important, but you're not sure about the impact of day games on attendance. Run a two-sided t-test around zero to test these expec- tations at the 5-percent level.

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Let the regression model being estimates be ATT I WIN SPREE I SDAY I RWEEK error We have th... View the full answer