In the first-order model $\tilde { y } = 60 + 40 x _ { 1 } - 10 x _ { 2 } + 5 x _ { 1 } x _ { 2 }$ ,a unit increase in x₂,while holding x₁ constant at 1,changes the value of y on average by -5 units.

Question

Quizplus · Accepted Answer

The coefficient of x₂ is -10, which means that a unit increase in x₂, while holding x₁ constant, decreases the value of y by 10 units on average.

In the First-Order Model y~=60+40x1−10x2+5x1x2\tilde { y } = 60 + 40 x _ { 1 } - 10 x _ { 2 } + 5 x _ { 1 } x _ { 2 }y~​=60+40x1​−10x2​+5x1​x2​

In the First-Order Model $\tilde { y } = 60 + 40 x _ { 1 } - 10 x _ { 2 } + 5 x _ { 1 } x _ { 2 }$