SCENARIO 13-3
An economist is interested to see how consumption for an economy (in $ billions) is influenced by gross domestic product ($ billions) and aggregate price (consumer price index).The Microsoft Excel output of this regression is partially reproduced below.
-Referring to SCENARIO 13-3, what is the estimated mean consumption level for an economy with GDP equal to $2 billion and an aggregate price index of 90?
A)$1.39 billion
B)$2.89 billion
C)$4.75 billion
D)$9.45 billion

Question

SCENARIO 13-3
An economist is interested to see how consumption for an economy (in $ billions) is influenced by gross domestic product ($ billions) and aggregate price (consumer price index).The Microsoft Excel output of this regression is partially reproduced below. 
-Referring to SCENARIO 13-3, what is the estimated mean consumption level for an economy with GDP equal to $2 billion and an aggregate price index of 90?
A)$1.39 billion 
B)$2.89 billion 
C)$4.75 billion 
D)$9.45 billion

Quizplus · Accepted Answer

The estimated mean consumption level can be calculated using the given GDP and aggregate price index values. However, without the specific formula or additional context from SCENARIO 13-3, it's not possible to provide a detailed explanation. The correct answer is chosen based on the assumption that the scenario provided a method for calculating consumption level that, when applied to a GDP of $2 billion and an aggregate price index of 90, results in a consumption level of $1.39 billion.

SCENARIO 13-3 an Economist Is Interested to See How Consumption for an for an Economy