MGMT 4700 Lecture Notes - Lecture 2: Coefficient Of Determination, Analysis Of Variance
Document Summary
In the first model (a), to check whether household income depends on the percentage of the population that is retirees, a single variable regression is run with household income as dependent and proportion of retirees as independent variable. The adjusted r square of the model is 0. 015 and in the corresponding. Anova table, f-significance value is 0. 022 which is less than alpha (0. 05), which means there is a relationship between household income and the percentage of the population that retirees. In the coefficients table, the p-value for proportion of retirees is 0. 022, which is less than alpha i. e. proportion of retirees is a significant variable in predicting household income. In the second model(b), to check whether household income depends on the percentage of the population that is retirees and the housing stock per capita, a multiple linear regression is run with. Household income as dependent variable and proportion of retirees, the housing stock per capita are as independent variables.
