Dependent variable: Growth Developing Countries R^2 = 20.77% Variable Coefficien

Question

Dependent variable: Growth Developing Countries R^2 = 20.77% Variable Coefficient Intercept 3.06 Growth Developed Countries 0.464. s = 1.694 Is economic growth in the developing world related to growth in the industrialized countries? The output of a regression analysis that related growth (in % of Gross Domestic Product) of the developing countries to the growth of developed countries from 1970 to 2007 is given below. Complete parts a through f. Click the icon to view regression analysis. a) Write the equation of the regression line. Choose the correct answer below. A. Growth (Developing Countries) = 3.06 + 0.464 Growth (Developed Countries) B. Growth (Developed Countries) = 0.464 + 3.06 Growth (Developing Countries) C. Growth (Developed Countries) = 3.06 + 0.464 Growth (Developing Countries) D. Growth (Developing Countries) = 0.464 + 3.06 Growth (Developed Countries) b) What is the meaning of the intercept? A. The intercept is the predicted growth of developed countries in years of 0 growth in developing countries. B. The intercept is the predicted growth of developing countries in years of 0 growth in developed countries. C. The intercept is the predicted year in which the growth of the developed countries and the growth of the developing countries are the same. Does the intercept make sense in this context? No Yes c) Interpret the meaning of the slope. Choose the correct answer below. A. GDP in developing countries increased 0.464% more than in developed countries B. GDP in developed countries increased 0.464% more than in developing countries. C. GDP in developing countries increased 0.464% for a 1% increase in growth in developed countries. D. GDP in developed countries increased 0.464% for a 1% increase in growth in developing countries. d) In a year in which the developed countries grow 4%. what do you predict for the developing world? The predicted growth of the developing world is %. (Round to three decimal places as needed.) e) In 2007, the developed countries experienced a 2.73% growth. while the developing countries grew at a rate of 5.34%. Is this more or less than you would have predicted? Less More f) What is the residual for 2007? The residual is %. (Round to two decimal places as needed.)

Explanation / Answer

You tick all answers are correct.

D)

Regression equation is

Growth ( developing countries)= 0.464+3.06 Growth( developed countries)

You are given developed countries grow is 4%

Predicted growth =0.464+(3.06*4)=12.704

Answer is 12.704

e)

Is less predicted

Answer is less.

f)

Residual =observed value - predicted value

Given observed value =5.34

Predicted value for 2.73 is

=0.464+3.06*2.73

=8.82

Residual =8.82-5.34=3.48

Answer is 3.48

Related Questions

Navigate

• Browse (All)
• Browse D
• Subjects

---

---

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.