Statistics for Management and EconomicsSixth Edition Gerald Keller

Statistics for Management and Economics-Sixth Edition Gerald Keller – Brian Warrack Chapter 18 – Multiple Regression 1

© 2003 Brooks/Cole Publishing / Thomson Learning Figure 18. 1 Scatter diagram and response surface with k=2 2

© 2003 Brooks/Cole, a division of Thomson Learning, Inc. Thomson Learning™ is a trademark used herein under license. Excel – Summary Output Regression Statistics from Example 18. 1 3

© 2003 Brooks/Cole, a division of Thomson Learning, Inc. Thomson Learning™ is a trademark used herein under license. Minitab – Regression Analysis: Margin versus Number, Nearest, from Example 18. 1 4

© 2003 Brooks/Cole, a division of Thomson Learning, Inc. Thomson Learning™ is a trademark used herein under license. Excel - Analysis of Variance and Regression Analysis 5

© 2003 Brooks/Cole, a division of Thomson Learning, Inc. Thomson Learning™ is a trademark used herein under license. Minitab – Analysis of Variance 6

© 2003 Brooks/Cole, a division of Thomson Learning, Inc. Thomson Learning™ is a trademark used herein under license. Excel – Prediction Interval – Using the Regression Equation 7

© 2003 Brooks/Cole, a division of Thomson Learning, Inc. Thomson Learning™ is a trademark used herein under license. Minitab – Predicted values for Observations 8

© 2003 Brooks/Cole, a division of Thomson Learning, Inc. Thomson Learning™ is a trademark used herein under license. Excel-Regression Statistics – MBA Program Admissions Policy: Solution 9

© 2003 Brooks/Cole, a division of Thomson Learning, Inc. Thomson Learning™ is a trademark used herein under license. Minitab-Regression Analysis: MBA GPA versus Under. GPA, GMAT, Work 10

© 2003 Brooks/Cole, a division of Thomson Learning, Inc. Thomson Learning™ is a trademark used herein under license. Excel – Summary Output Regression Statistics from Example 18. 2 11

© 2003 Brooks/Cole, a division of Thomson Learning, Inc. Thomson Learning™ is a trademark used herein under license. Minitab- Regression Analysis: Price versus Bedrooms, House Size, Lot Size 12

© 2003 Brooks/Cole, a division of Thomson Learning, Inc. Thomson Learning™ is a trademark used herein under license. Excel – Interpret Correlation A 13

© 2003 Brooks/Cole, a division of Thomson Learning, Inc. Thomson Learning™ is a trademark used herein under license. Excel – Interpret Correlation B 14

© 2003 Brooks/Cole, a division of Thomson Learning, Inc. Thomson Learning™ is a trademark used herein under license. Excel – Interpret Correlation C 15

© 2003 Brooks/Cole, a division of Thomson Learning, Inc. Thomson Learning™ is a trademark used herein under license. Minitab – Correlations: Price, Bedrooms 16

© 2003 Brooks/Cole, a division of Thomson Learning, Inc. Thomson Learning™ is a trademark used herein under license. Minitab – Correlations: Price, House Size 17

© 2003 Brooks/Cole, a division of Thomson Learning, Inc. Thomson Learning™ is a trademark used herein under license. Minitab – Correlations: Price, Lot Size 18

© 2003 Brooks/Cole, a division of Thomson Learning, Inc. Thomson Learning™ is a trademark used herein under license. Excel – Interpret Bedrooms, House Size and Lot Size 19

© 2003 Brooks/Cole, a division of Thomson Learning, Inc. Thomson Learning™ is a trademark used herein under license. Minitab – Correlations: Bedrooms, H Size, Lot Size 20

© 2003 Brooks/Cole, a division of Thomson Learning, Inc. Thomson Learning™ is a trademark used herein under license. Figure 18. 4 Negative first-order autocorrelation 21

© 2003 Brooks/Cole, a division of Thomson Learning, Inc. Thomson Learning™ is a trademark used herein under license. Figure 18. 5 Durbin-Watson test 22

© 2003 Brooks/Cole, a division of Thomson Learning, Inc. Thomson Learning™ is a trademark used herein under license. Excel – Summary Output Regression Statistics from Example 18. 3 23

© 2003 Brooks/Cole, a division of Thomson Learning, Inc. Thomson Learning™ is a trademark used herein under license. Minitab – Regression Analysis: Tickets versus Snowfall, Temperature 24

© 2003 Brooks/Cole, a division of Thomson Learning, Inc. Thomson Learning™ is a trademark used herein under license. Excel - Plot of residuals versus predicted values in Example 18. 3 25

© 2003 Brooks/Cole, a division of Thomson Learning, Inc. Thomson Learning™ is a trademark used herein under license. Excel-Plot of Residuals versus time periods in Example 18. 3 26

© 2003 Brooks/Cole, a division of Thomson Learning, Inc. Thomson Learning™ is a trademark used herein under license. Excel – Durbin-Watson Statistic 27

© 2003 Brooks/Cole, a division of Thomson Learning, Inc. Thomson Learning™ is a trademark used herein under license. Minitab – Durbin-Watson statistic = 0. 59 28

© 2003 Brooks/Cole, a division of Thomson Learning, Inc. Thomson Learning™ is a trademark used herein under license. Excel – Summary Output Regression Statistics 29

© 2003 Brooks/Cole, a division of Thomson Learning, Inc. Thomson Learning™ is a trademark used herein under license. Minitab – Regress Analysis: Tickets versus Snowfall, Temperature, Time 30

© 2003 Brooks/Cole, a division of Thomson Learning, Inc. Thomson Learning™ is a trademark used herein under license. Excel Histogram of residuals in Example 18. 3 (Time variable included) 31

© 2003 Brooks/Cole, a division of Thomson Learning, Inc. Thomson Learning™ is a trademark used herein under license. Excel plot of residuals versus predicted values in Example 18. 3 (Time variable included) 32

© 2003 Brooks/Cole, a division of Thomson Learning, Inc. Thomson Learning™ is a trademark used herein under license. Excel plot of residuals versus time periods in Example 18. 3 (Time variable included) 33

© 2003 Brooks/Cole, a division of Thomson Learning, Inc. Thomson Learning™ is a trademark used herein under license. Excel Durbin-Watson Statistic 34