A major car magazine has recently collected data on 30 leading cars in the U.S.market.It is interested in building a multiple regression model to explain the variation in highway miles.The following correlation matrix has been computed from the data collected: The analysts also produced the following multiple regression output using curb weight,cylinders,and horsepower as the three independent variables.Note,a number of the output fields are missing,but can be determined from the information provided. Based on the information provided,holding the other variables constant,increasing horsepower by one unit results in an average decrease in highway mileage by 0.016 miles per gallon.

Question

A major car magazine has recently collected data on 30 leading cars in the U.S.market.It is interested in building a multiple regression model to explain the variation in highway miles.The following correlation matrix has been computed from the data collected:  The analysts also produced the following multiple regression output using curb weight,cylinders,and horsepower as the three independent variables.Note,a number of the output fields are missing,but can be determined from the information provided.  Based on the information provided,holding the other variables constant,increasing horsepower by one unit results in an average decrease in highway mileage by 0.016 miles per gallon.

Quizplus · Accepted Answer

From the multiple regression output, we can see that the coefficient for the horsepower variable is -0.016. This means that for every one unit increase in horsepower, there is a decrease of 0.016 miles per gallon in highway mileage, holding the other variables constant. Therefore, the statement in the question is true.

A Major Car Magazine Has Recently Collected Data on 30