In a study of the influence of financial institutions on bond interest rates in a certain country, quarterly data over a periodof 12 years were analyzed. The postulated model was y¡ = Bo + B₁×₁¡ + B₂X2; + &¡, where y; is the change over thequarter in the bond interest rates, X₁₁ is the change over the quarter in bond purchases by financial institutions, and X2i isthe change over the quarter in bond sales by financial institutions. The estimated regression coefficients are b₁ = 0.057and b₂ = -0.033. Interpret these estimates.What is the correct interpretation of the coefficient estimates? Select the correct choice below and, if necessary, fill in theanswer boxes within your choice.A. Each percent increase in the bond interest rates leads to a change in the estimated amount of bondspurchased by financial institutions by and a decrease in bond sales by financial institutions by.B. Each additional bond purchased by financial institutions leads to a change in the estimated bond interest ratesby percent. Each additional bond sale by financial institutions leads to a change in the estimated bondinterest rates by percent.C. There is no meaningful interpretation of the regression coefficients for this application.

Answer By using the given data is: x1i is the change over the quarter in bond purchases by…

Answered: In a study of the influence of…

MATLAB: An Introduction with Applications

6th Edition

ISBN:9781119256830

Author:Amos Gilat

Publisher:Amos Gilat

Chapter1: Starting With Matlab

Section: Chapter Questions

Problem 1P

See similar textbooks

Similar questions

4. An observational study was conducted to investigate the association between age and total serum cholesterol. The study involved 125 participants with an average age of 44.3 and an age range between 35-55 years. The regression equation was calculated and is as follows: y = 124.4 + 1.6x a) Estimate the total serum cholesterol for a 50-year old person. b) Estimate the total serum cholesterol for a 44-year old person. c) Would it be appropriate to utilize the equation to predict a 70-year old individual's cholesterol level? Please explain your answer.
The following chart shows the actual sales for the last 12 months for a given company. Assume that sales are best fit by a linear trend and you can use single linear regression to set up a forecasting model. Using the sales data answer below questions (justify your answers): A.What would be the typical linear regression equation for the number of sales? B.Make the sales forecast for period 15 of next year. C. Make the sales forecast for period 17 of next year. D. What is the standard error for the data?
Cryptocurrencies have rapidly become an important alternative to traditional currencies for many types of transactions. Etherium, one of the most prominent cryptocurrencies, has rapidly appreciated in value. Daily Etherium trading information for the first 332 days of 2021. It includes the following variables: Date Day – Day of the year, used to assess trend over time Volume (US $) – Daily trading volume Opening Price (US $) – Opening price for daily trading Price Change (US $) – Daily change in price from opening to close 1. Determine the sample correlation coefficient, r, between Volume and Price Change. Test the alternative hypothesis that Volume has a linear relationship to Price Change. Specifically, what are the test statistic and the p-value for that test statistic? For α = .05, what do you conclude about the relationship between the variables? (reminder: the T.DIST.2T function requires input of a positive test statistic)
You are the Filipino analyst hired by the multinational company to study the sales data of its more than 75 stores worldwide. You used regression analysis to predict $ sales (y) by using $ advertising (x1) and $ salary of sales representatives (x2) across all the branches. You obtained the following regression function: y = 7800 + 8.5x1-1.6x2 If the advertising budgets of one of the branches of the corporation is now $45,000 (which is 10% more than before) and the salary of sales representatives is now $8,500 (which is 20% less than before), then the predicted sales before in that branch is A. $341,250 B. $335,650 C. $376,700 D. $417,750
You are the Filipino analyst hired by the multinational company to study the sales data of its more than 75 stores worldwide. You used regression analysis to predict $ sales (y) by using $ advertising (x1) and $ salary of sales representatives (x2) across all the branches. You obtained the following regression function: y = 7800 + 8.5x1-1.6x2 If the advertising budgets of one of the branches of the corporation is now $45,000 (which is 10% more than before) and the salary of sales representatives is now $8,500 (which is 20% less than before), then the predicted sales before in that branch is $417,750 $341,250 $376,700 $335,650
In a simple linear regression equation, X is the----- variable.
You are the Filipino analyst hired by the multinational company to study the sales data of its more than 75 stores worldwide. You used regression analysis to predict $ sales (y) by using $ advertising (x1) and $ salary of sales representatives (x2) across all the branches. You obtained the following regression function: y = 7800 + 8.5x1-1.6x2 If the advertising budgets of one of the branches of the corporation increased by 10% and the salary of sales representatives decreased by 20%, then its predicted sales will?
Assume that in one country in 2005, 12.5% of the population was 65 or older. By 2050, this percent is expected to be 21.05%. The percent of the population ages 25-34 in 2005 was 13.9%. That age group is expected to include 13.1215% of the population in 2050. A.) Assuming these population changes are linear, use the data for the 65 or over age group to write a linear equation. Then do the same for the 25-34 age group. Let x=0represent 2005 and x=45 represent 2050. Express percents in decimal form. A1.) For the population of 65 or older the equation is y=________. A2.) For the population of 25-34 years the equation is y=________. B.) Solve the system of linear equations from part (a). In what year will the two age groups include the same percent of the population? What is that percent? B1.) The age groups include the same percent of population in the year_______. (Do not round until the final answer. Then round to the nearest year as needed.) B2.) The percent…
TABLE 1: An economist at Nedbank ran a study of the relationship between FTSE/JSE All Shares index retu (JALSH) and consumer price index (CPI) from 2006 to 2017, the data collected is shown in the Tal below. FTSE/JSE All Shares index return (JALSH) and consumer price index (CPI) from 2006 to 2017. CPI (X) 4.7 7.1 11.5 7.1 4.3 5.0 5.6 5.7 6.1 4.6 6.4 5.3 Year 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 Question 1 Use Table 1 above to answer this question JALSH (Y) 0.41 0.19 -0.23 0.32 0.19 0.03 0.27 0.21 0.11 0.05 0.00 0.21 Q.1.1 The estimated regression equation with dependent variable FTSE/JSE All Shares index return (JALSH) and independent variable consumer price index (CPI) was Q.1.1.1 Calculate Bo JALSH, =B₁ + B₂CPI¡
In May, about 451 thousand existing homes were sold in the U.S., and sales were decreasingby 3.4% per month.(a) Create a model for this situation. (Recall that you should define the independent anddependent variables and their units, as well as provide an equation.)(b) If this trend continues, how many existing homes will be sold in the U.S. in October?(Round to the nearest thousand homes.)
In industry, the relationship between wages and the quit ratio of employees is defined to be the percentage of employees that quit within 1 year of employment. The quit ratio of a large restaurant chain that paid its employees the minimum hourly wage ($7.25 per hour) was .2 or 20 employees per 100. When the company raised the hourly wage to $8, the quit ratio dropped to .18, or 18 employees per 100. (a) Assuming a linear relationship between the quit ratio Q(x) and the hourly wage x, find an expression for Q(x). (b) What should the hourly wage be for the quit ratio to drop to 10 employees per 100?
Suppose that you are a researcher and wish to construct a linear mathematical (statistical) model that relates the number of years and the corresponding exports (million U.S.$) of a country. The constructed model may use to forecasts the future values. You have obtained the relevant data for the during of 1990 to 1995 and you have listed the data in Table 5. Table 5. Shows the list of the amount that have earned on exports Year No. 1 2 3 4 5 6 Exports 4954 6131 6904 6813 6803 8137 (a) Construct a suitable graph that explains the relationship between the number of years and the corresponding exports. (b) Construct a mathematical (Statistical) model by using least square method between number of years and the corresponding sales. (c) Interpret the slope of the estimated linear model (d) Forecast the value of exports by using the estimated linear model for the year of 2000

SEE MORE QUESTIONS

Recommended textbooks for you

MATLAB: An Introduction with Applications

Statistics

ISBN:

9781119256830

Author:

Amos Gilat

Publisher:

John Wiley & Sons Inc

Probability and Statistics for Engineering and th…

Statistics

ISBN:

9781305251809

Author:

Jay L. Devore

Publisher:

Cengage Learning

Statistics for The Behavioral Sciences (MindTap C…

Statistics

ISBN:

9781305504912

Author:

Frederick J Gravetter, Larry B. Wallnau

Publisher:

Cengage Learning

MATLAB: An Introduction with Applications

Statistics

ISBN:

9781119256830

Author:

Amos Gilat

Publisher:

John Wiley & Sons Inc

Probability and Statistics for Engineering and th…

Statistics

ISBN:

9781305251809

Author:

Jay L. Devore

Publisher:

Cengage Learning

Statistics for The Behavioral Sciences (MindTap C…

Statistics

ISBN:

9781305504912

Author:

Frederick J Gravetter, Larry B. Wallnau

Publisher:

Cengage Learning

Elementary Statistics: Picturing the World (7th E…

Statistics

ISBN:

9780134683416

Author:

Ron Larson, Betsy Farber

Publisher:

PEARSON

The Basic Practice of Statistics

Statistics

ISBN:

9781319042578

Author:

David S. Moore, William I. Notz, Michael A. Fligner

Publisher:

W. H. Freeman

Introduction to the Practice of Statistics

Statistics

ISBN:

9781319013387

Author:

David S. Moore, George P. McCabe, Bruce A. Craig

Publisher:

W. H. Freeman

SEE MORE TEXTBOOKS