Use the following to answer questions :
The following table lists the ages (in years)and the prices (in thousands of dollars)by a sample of six houses.

-Suppose we have information on the ages (in years)and the prices of a sample of houses.In the regression of price on age for these data,the value of b will represent:
A)the point where this regression line will intersect the y-axis
B)the point where this regression line will intersect the x-axis
C)an decrease in the age of a house due to a $1,000 increase in its price
D)an decrease in the price of a house due to a one year increase in its age

Question

Use the following to answer questions :
The following table lists the ages (in years)and the prices (in thousands of dollars)by a sample of six houses.
 
-Suppose we have information on the ages (in years)and the prices of a sample of houses.In the regression of price on age for these data,the value of b will represent:
A)the point where this regression line will intersect the y-axis 
B)the point where this regression line will intersect the x-axis 
C)an decrease in the age of a house due to a $1,000 increase in its price 
D)an decrease in the price of a house due to a one year increase in its age

Quizplus · Accepted Answer

In a regression of price on age, the coefficient b represents the change in the dependent variable (price) for a one-unit increase in the independent variable (age), indicating a decrease in price for each additional year of age.

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