Question: Using the data in RDCHEM, the following equation was obtained by OLS: = 2 . 6 1 3 + 0 . 0 0 3 0
Using the data in RDCHEM, the following equation was obtained by OLS:
n R
i At what point does the marginal effect of sales on rdintens become negative?
ii Would you keep the quadratic term in the model? Explain.
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