Estimate of regression equation using same variables

Reference no: EM13983152

The consumer price index (CPI) is a measure of the average change in prices over time in a fixed market basket of goods and services typically purchased by consumers. One of the items in this market basket that affects the CPI is the price of oil and its derivatives.

The file entitled Consumer contains the price of the derivatives of oil and the CPI adjusted to 2005 levels. In Exercise 15-49, backward elimination stepwise regression was used to determine the relationship between CPI and two independent variables: the price of heating oil and of diesel fuel.

a. Construct an estimate of the regression equation using the same variables.

b. Produce the appropriate residual plots to determine if the linear function is the appropriate regression function for this data set.

c. Use a residual plot to determine if the residuals have a constant variance.

d. Produce the appropriate residual plot to determine if the residuals are independent. Assume the data were extracted in the order listed.

e. Construct a probability plot to determine if the error terms are normally distributed.

Reference no: EM13983152

Questions Cloud

Determine the period of small oscillation : A simple pendulum of length 2.00 m and mass 0.425 kg has a spring of force constant 88.0 n/m attached a distance h = 1.2 m from the point of suspension. determine the period of small oscillation.

What angle again measured from the vertical : A simple pendulum of length L is displaced from the vertical by 8.00 degrees and released from rest. At what angle, again measured from the vertical, is the pendulum's kinetic energy equal to 40.0 percent of its maximum kinetic energy? Assume the ..

Correlation between all possible pairs of variables : 1. Develop the correlation matrix showing the correlation between all possible pairs of variables. Test statistically to determine which independent variables are significantly correlated with the dependent variable, book sales. Use a significance..

Construct a regression equation : Construct a regression equation in which total U.S. box office grosses are predicted using the other variables. Produce the appropriate residual plots to determine if the linear function is the appropriate regression function for this data set.

Estimate of regression equation using same variables : a. Construct an estimate of the regression equation using the same variables. b. Produce the appropriate residual plots to determine if the linear function is the appropriate regression function for this data set.

What is the direction of the current induced in the loop : What is the direction (clockwise or counterclockwise) of the current induced in the loop? Calculate the magnitude of the external force Fext required to move the loop at a constant speed of v = 3.9 m/s.

What will be the speed of the pendulum at the instant : Suppose you start with the pendulum hanging vertically, at rest. You then give it a push so that it starts swinging with a speed of 8.1 m/s. What maximum angle (in degrees) will it reach, with respect to the vertical, before falling back down?

Discuss the role of a finance manager in an organization : Discuss the role of a finance manager in an organization and lists out the remedies of over capitalization?

How would the following items affect the afn : Explain the additional funds needed equation. How would the following items affect the AFN? a) The dividend payout ratio, b) The profit margin, c) The capital intensity ratio, d) Suppliers allowing 60 instead of 30 to pay?

User Account

All Pages