Question: You've run a regression to find the demand function for your product, and it includes a rival's price as one of the determining factors. Which
You've run a regression to find the demand function for your product, and it includes a rival's price as one of the determining factors. Which of the following is most strongly supportive of dropping the rival's price out of the equation, because it may not be an important factor in demand for your product? Your regression has an R2 of 0.5. The t-stat on the rival's price is 0.8. The coefficient on the rival's price is 1.5. The p-value on the rival's price is 0.05
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