This question refers to module Basic Econometric. Intense E1332udur gnsMr Ping, an economist working for OCEAN 13, was mandated by XYZ GAMING LTD to analyse thedemand for MMORPG (Massive Online Gaming) in India. Having collected data from a sample of 100online gamers, the following regression result was obtained (with standard error given in brackets andlevel of significance assumed to be 10%):Log Q% = 8.75 - 0. 80 Log_P + 4.5 Log Y+ 1.5 Log T.(0.01)(5.25)(4.75)(0.3)R 0.780;F-Stat, 200.30R -0.675where Q = Quantity Demanded; Y = Income Level, T =Technology Index andP= PriceA. Interpret the individual impact of each independent variable on the demand for MMORPG inIndia.B. Test whether the independent variables have a joint effect on the demand for MMORPG in.India.C. Is Multicollinearity present in the model? Explain your answer.D. Advise suppliers on the potential impact of giving a discount on chocolate on total revenue.

Regression is a statistical method used to version the connection between one or extra unbiased…

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Question

This question refers to module Basic Econometric.

Intense E
1332udur gns
Mr Ping, an economist working for OCEAN 13, was mandated by XYZ GAMING LTD to analyse the
demand for MMORPG (Massive Online Gaming) in India. Having collected data from a sample of 100
online gamers, the following regression result was obtained (with standard error given in brackets and
level of significance assumed to be 10%):
Log Q% = 8.75 - 0. 80 Log_P + 4.5 Log Y+ 1.5 Log T.
(0.01)
(5.25)
(4.75)
(0.3)
R 0.780;
F-Stat, 200.30
R -0.675
where Q = Quantity Demanded; Y = Income Level, T =Technology Index and
P= Price
A. Interpret the individual impact of each independent variable on the demand for MMORPG in
India.
B. Test whether the independent variables have a joint effect on the demand for MMORPG in.
India.
C. Is Multicollinearity present in the model? Explain your answer.
D. Advise suppliers on the potential impact of giving a discount on chocolate on total revenue.

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