A multiple regression model has the following estimated form: = 7 + 2x₁ + 9x₂ As x₂ increases by 1 unit (holding x₁ constant), y is expected to A) increase by 9 units. B) decrease by 9 units. C) increase by 2 units. D) decrease by 2 units.

Question

Quizplus · Accepted Answer

According to the model, as x₂ increases by 1 unit (holding x₁ constant), y is expected to increase by 9 units. This is because the coefficient of x₂ in the model is 9, indicating that for each unit increase in x₂, y is expected to increase by 9 units, all other things being equal.

A Multiple Regression Model Has the Following Estimated Form