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P= 2,754 0.55D, 2.52C; +252G; +576PE; + 1,750Fi (0.12) (1.1) (135) (200) (450) P₁ = Annual employee health insurance contribution, in real $ D₁ = Annual plan deductible, in real $ C₁ = Copayment amount for outpatient care visit, in real $ where: G₁ = Gender of employee (G₁ = 1 if female) PE; = Dummy for pre-existing condition (PE; = 1 if yes) F₁ = Dummy for family plan (F; = 1 if yes) Use the information above to answer the following question: Interpret the meaning of the estimated coefficient on D₂ O The coefficient tells us that increasing the plan's deductible by $1 leads to a reduction in premiums of $55, all els held constant. O The coefficient tells us that increasing the plan's deductible by $1 leads to a reduction in premiums of $2.52, all else held constant. The coefficient tells us that increasing the plan's deductible by $1 leads to a reduction in premiums of $0.55, all else held constant. O The coefficient tells us that increasing the plan's deductible by $1 leads to a reduction in premiums of $5.50. None of the above answers is correct

P= 2,754 0.55D, 2.52C; +252G; +576PE; + 1,750Fi (0.12) (1.1) (135) (200) (450) P₁ = Annual employee health insurance contribution, in real $ D₁ = Annual plan deductible, in real $ C₁ = Copayment amount for outpatient care visit, in real $ where: G₁ = Gender of employee (G₁ = 1 if female) PE; = Dummy for pre-existing condition (PE; = 1 if yes) F₁ = Dummy for family plan (F; = 1 if yes) Use the information above to answer the following question: Interpret the meaning of the estimated coefficient on D₂ O The coefficient tells us that increasing the plan's deductible by $1 leads to a reduction in premiums of $55, all els held constant. O The coefficient tells us that increasing the plan's deductible by $1 leads to a reduction in premiums of $2.52, all else held constant. The coefficient tells us that increasing the plan's deductible by $1 leads to a reduction in premiums of $0.55, all else held constant. O The coefficient tells us that increasing the plan's deductible by $1 leads to a reduction in premiums of $5.50. None of the above answers is correct

MATLAB: An Introduction with Applications
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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P₁ = 2,754 0.55D; 2.52C; +252G; + 576PE; + 1,750F; (0.12) (1.1) (135) (200) (450) P₁ = Annual employee health insurance contribution, in real $ D₁ = Annual plan deductible, in real $ C₁ = Copayment amount for outpatient care visit, in real $ G₁ = Gender of employee (G₂ = 1 if female) PE₁ = Dummy for pre-existing condition (PE; = 1 if yes) F₁ = Dummy for family plan (F; = 1 if yes) Use the information above to answer the following question: Interpret the meaning of the estimated coefficient on D₂ where: O The coefficient tells us that increasing the plan's deductible by $1 leads to a reduction in premiums of $55, all else held constant. O The coefficient tells us that increasing the plan's deductible by $1 leads to a reduction in premiums of $2.52, all else held constant. The coefficient tells us that increasing the plan's deductible by $1 leads to a reduction in premiums of $0.55, all else held constant. O The coefficient tells us that increasing the plan's deductible by $1 leads to a reduction in premiums of $5.50. O None of the above answers is correct.
Transcribed Image Text:P₁ = 2,754 0.55D; 2.52C; +252G; + 576PE; + 1,750F; (0.12) (1.1) (135) (200) (450) P₁ = Annual employee health insurance contribution, in real $ D₁ = Annual plan deductible, in real $ C₁ = Copayment amount for outpatient care visit, in real $ G₁ = Gender of employee (G₂ = 1 if female) PE₁ = Dummy for pre-existing condition (PE; = 1 if yes) F₁ = Dummy for family plan (F; = 1 if yes) Use the information above to answer the following question: Interpret the meaning of the estimated coefficient on D₂ where: O The coefficient tells us that increasing the plan's deductible by $1 leads to a reduction in premiums of $55, all else held constant. O The coefficient tells us that increasing the plan's deductible by $1 leads to a reduction in premiums of $2.52, all else held constant. The coefficient tells us that increasing the plan's deductible by $1 leads to a reduction in premiums of $0.55, all else held constant. O The coefficient tells us that increasing the plan's deductible by $1 leads to a reduction in premiums of $5.50. O None of the above answers is correct.
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