4-15 Consumption of hamburgers (thousands of burgers per week) in twelve different cities isshown here. Prices of hamburgers, income per capita (in $1,000s), and prices of hot dogs forthe cities, are also shown on the next page.City123456789101112a.HamburgerConsumption50809510570855560759010065HamburgerPrice$1.501.351.251.201.401.301.501.451.351.251.201.45Income($1,000s)12.014.215.016.013.814.313.313.313.714.515.213.6Hot DogPrice$1.801.551.451.351.601.501.701.701.601.501.351.65Use regression analysis to estimate hamburger consumption as a multiplicative functionof the price of hamburgers, income, and hot dog price. Write the equation, t-statistics,and the coefficient of determination. Which coefficients are significant at the 0.05 level?b. Based on the estimates from part (a), what are the price, income, and cross elasticities?Is the cross elasticity consistent with economic theory? Explain.

The following model we have estimated: HCi = Ci + β1 HPi + β2 HDPi + β3 Incomei + Ui Where C is the…

4-15 Consumption of hamburgers (thousands of burgers per week) in twelve different cities is shown here. Prices of hamburgers, income per capita (in $1,000s), and prices of hot dogs for the cities, are also shown on the next page. City 1 23 45678 9 10 11 12 Hamburger Consumption 50 80 95 105 70 85 55 60 75 90 100 65 Hamburger Price $1.50 1.35 1.25 1.20 1.40 1.30 1.50 1.45 1.35 1.25 1.20 1.45 Income ($1,000s) 12.0 14.2 15.0 16.0 13.8 14.3 13.3 13.3 13.7 14.5 15.2 13.6 Hot Dog the pri Price $1.80 1.55 1.45 1.35 1.60 1.50 1.70 1.70 1.60 1.50 1.35 1.65 a. Use regression analysis to estimate hamburger consumption as a multiplicative function of the price of hamburgers, income, and hot dog price. Write the equation, t-statistics, and the coefficient of determination. Which coefficients are significant at the 0.05 level?

4-15 Consumption of hamburgers (thousands of burgers per week) in twelve different cities is shown here. Prices of hamburgers, income per capita (in $1,000s), and prices of hot dogs for the cities, are also shown on the next page. City 1 23 45678 9 10 11 12 Hamburger Consumption 50 80 95 105 70 85 55 60 75 90 100 65 Hamburger Price $1.50 1.35 1.25 1.20 1.40 1.30 1.50 1.45 1.35 1.25 1.20 1.45 Income ($1,000s) 12.0 14.2 15.0 16.0 13.8 14.3 13.3 13.3 13.7 14.5 15.2 13.6 Hot Dog the pri Price $1.80 1.55 1.45 1.35 1.60 1.50 1.70 1.70 1.60 1.50 1.35 1.65 a. Use regression analysis to estimate hamburger consumption as a multiplicative function of the price of hamburgers, income, and hot dog price. Write the equation, t-statistics, and the coefficient of determination. Which coefficients are significant at the 0.05 level?

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

See similar textbooks

Similar questions

16
17_economics
QUESTION 79 1. You and your college roommate eat three packages of Ramen noodles each week. After graduation last month, both of you were hired at several times your college income. You still enjoy Ramen noodles very much and buy even more, but your roommate plans to buy fewer Ramen noodles. You and your roommate consider Ramen noodles as a normal good You and your roommate consider Ramen noodles as an inferior good You consider Ramen noodles as an inferior good but your roommate considers it as a normal good You consider Ramen noodles as a normal good but your roommate considers it as an inferior good QUESTION 80 1. You own a deli. Which of the following is most likely a fixed input at your deli? the dining room the bread used to make sandwiches the tomato sauce used to make soups the employees
The city of Rye has a large number of video arcades. The demand by patrons in thousands per week is Qd=200 - 2P and the supply is Qs= 2P where P is the price in cents charged to play a game. what is the Equilibrium number (quantity) of games played? What is the equilibrium price? draw a diagram showing the equilibrium in the marke
V2
The relationship between a consumer's monthly income and monthly consumption of four products, A-D, is shown in the following table. Income $ 5,000 6,000 A 70 64 Quantity Consumed B 35 42 C 10 16 D 20 12 Which product(s) listed is(are) an example of an normal good?
essment 1 P 46 40 40 :44 30 E₁ 24 24 E2 100 150 S -D2 -D1 The graph shown portrays a subsidy to buyers. The subsidy causes Saved units to be sold in this market.
_______ Refers To an upper limit on the amount of a commodity that can be purchased by an individual unit?
11
Alex lives in Moscow, where tomatoes sell for $2 a kilo, oranges sell for $1 a kilo and mango sell for $3 a kilo. He earns $15 per day. Kate lives in Novosibirsk, where tomatoes sell for $3 a kilo, oranges sell for $6 a kilo and mango sell for $5. She earns $55 a day. Consider two alternative situations: (i) Alex consumes 4 kilos of tomatoes, 4 kilos of oranges and 1 kilo of mango; Kate consumes 6 kilos of tomatoes, 2 kilos of oranges and 5 kilos of mango. (ii) Alex consumes 4 kilos of tomatoes, 4 kilos of oranges and 1 kilo of mango, Kate consumes 1 kilo of tomatoes, 7 kilos of oranges and 2 kilos of mango. Can you determine whether in either of these situations Alex and Kate have different tastes? Explain.
QUESTION 23 Quantity Per Week 0 1234 00 0 5 6 7 8 9 Amy 0 5.0 9.9 14.7 194 24.0 28.5 329 37.2 414 Total Utility David 0 600 1200 1800 2400 3000 3600 4200 4800 5400 Robert 0 100 190 270 340 400 450 490 520 510 Michelle 0 60 130 220 310 425 575 900 1275 1770 Refer to the above table. Which of the four people have utility schedules characterized by the law of diminishing marginal utility? O Michelle and David only O Amy and Robert only Michelle only Amy, Robert, and David only
Economists like to calculate the percent changes in numbers. If the price of gasoline was $3.25 a gallon last week and this week it is $3.95 a gallon, what is the percentage change in price? 33.3 percent 82.3 percent 21.5 percent 17.7 percent