Question: What can we conclude about theinteraction term between pool and view in column (5)? The interaction term is significant at the 10% level and itssign
What can we conclude about theinteraction term between pool and view in column (5)?
The interaction term is significant at the 10% level and itssign indicates that the impact of installing a pool has a smaller effect on price when the house has a view.
The interaction termis significant at the 10% level and itssign indicates that the impact of installing a pool has a larger effect on price when the house has a view.
The sign of the interaction term implies that the impact of installing a pool has a smaller effect on price when the house has a view,but the estimate is not statistically significant at the10%level.
The sign of the interaction term implies that the impact of installing a pool has a larger effect on price when the house has a view, but the estimate is not statistically significant at the 10%level.

Dependent variable: In(Price) Regressor (1) (2) (3) (4) (5) Size 0.00042 (0.000038) In(Size) 0.69 0.68 0.57 (0.054) 0.69 (0.087) (2.03) (0.055) In(Size)2 0.0078 (0.14) Bedrooms 0.0036 (0.037) Pool 0.082 0.071 (0.032) 0.071 (0.034) 0.071 (0.034) 0.071 (0.036) (0.035) View 0.037 0.027 (0.029) 0.026 (0.028) 0.027 (0.026) 0.027 (0.029) (0.030) Pool X View 0.0022 (0.10) Condition 0.13 0.12 0.12 (0.045) 0.12 (0.035) (0.035) 0.12 (0.036) (0.035) Intercept 10.97 6.60 (0.069) 6.63 (0.39) 7.02 (0.53) 6.60 (7.50) (0.40) Summary Statistics SER 0.102 0.098 0.099 0.099 0.099 R2 0.72 0.74 0.73 0.73 0.73 Variable definitions: Price = sale price ($); Size = house size (in square feet); Bedrooms = number of bedrooms; Pool = binary variable (1 if house has a swimming pool, 0 otherwise); View = binary variable (1 if house has a nice view, 0 otherwise); Condition = binary variable (1 if real estate agent reports house is in excellent condition, 0 otherwise)
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