1 / 11

The Multiple Regression Model

The Multiple Regression Model. Hill et al Chapter 7. A model of the effects of advertising on revenue.  2 = the change in tr ($1000) when p is increased by one unit ($1), and a is held constant. The assumptions of the model. The estimators. Sampling properties.

Download Presentation

The Multiple Regression Model

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript


  1. The Multiple Regression Model Hill et al Chapter 7

  2. A model of the effects of advertising on revenue. 2= the change in tr ($1000) when p is increased by one unit ($1), and a is held constant

  3. The assumptions of the model

  4. The estimators

  5. Sampling properties

  6. Interval estimates and significance tests

  7. Measuring Goodness of Fit y x y x

  8. Example: Measuring Advertising Effectiveness • tr: revenue (thousand $) • p: price ($) • a: advertising (thousand $) • conclusions • demand is elastic • advertising has a positive effect on sales

  9. Interval Estimates and tests of significance tc = 2.01 A 95% interval estimate for 2 is given by

  10. Does advertising break-even?

  11. Goodness of fit

More Related