Consider a regression study involving a dependent variable y, a quantitative independent variable x1, and a categorical independentvariable with three possible levels (level 1, level 2, and level 3).a. How many dummy variables are required to represent the categorical variable?b. Consider the following regression equation relating x 1 and the categorical variable to y.E(v) = Bo + B1x 1 + B 2 x 2 + B 3 x 31X1 +Enter the values of dummy variables x 2 and x 3 that are used to indicate the three levels of the qualitative variable.LevelX 2X 3Select vSelect v2Select vSelect vSelect v Select vc. Interpret the parameters in your regression equation.B1 is the change in E(y) to a 1 unit change in Select v holding the categorical variable constant.B2 =SelectB 3 = Select

Answered: b. Consider the following regression…

MATLAB: An Introduction with Applications

6th Edition

ISBN:9781119256830

Author:Amos Gilat

Publisher:Amos Gilat

Chapter1: Starting With Matlab

Section: Chapter Questions

Problem 1P

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The table shows the amounts of crude oil (in thousands of barrels per day) produced by a certain country and the amounts of crude oil (in thousands of barrels per day) imported by the same country for seven years. The equation of the regression line is y =-1.364x+17,178.20. Complete parts (a) and (b) below. Produced, x Imported, y 5,744 5,554 5,439 5,188 5,136 5,067 D 9,132 9,677 10,017 10,193 10,149 10,075 5,756 9,328 (a) Find the coefficient of determination and interpret the result. (Round to three decimal places as needed.)
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