Modern Business Statistics with Microsoft Office Excel (with XLSTAT Education Edition Printed Access Card) (MindTap Course List)
6th Edition
ISBN: 9781337115186
Author: David R. Anderson, Dennis J. Sweeney, Thomas A. Williams, Jeffrey D. Camm, James J. Cochran
Publisher: Cengage Learning
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Textbook Question
Chapter 14.9, Problem 53E
Many countries, especially those in Europe, have significant gold holdings. But many of these countries also have massive debts. The following data show the total value of gold holdings in billions of U.S. dollars and the debt as a percentage of the gross domestic product for nine countries (WordPress and Trading Economics websites, February 24, 2012).
- a. Develop a
scatter diagram for the total value of a country’s gold holdings ($ billions) as the independent variable. - b. What does the scatter diagram developed in part (a) indicate about the relationship between the two variables? Does there appear to be any outliers and/or influential observations? Explain.
- c. Using the entire data set, develop the estimated regression equation that can be used to predict the debt of a country given the total value of its gold holdings.
- d. Suppose that after looking at the scatter diagram in part (a) that you were able to visually identify what appears to be an influential observation. Drop this observation from the data set and fit an estimated regression equation to the remaining data. Compare the estimated slope for the new estimated regression equation to the estimated slope obtained in part (c). Does this approach confirm the conclusion you reached in part (d)? Explain.
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Many countries, especially those in Europe, have significant gold holdings. But many of these countries also have massive debts. The following data show the total value of gold holdings in billions of U.S. dollars and the debt as a percentage of the gross domestic product for nine countries (WordPress and Trading Economics websites, February 24, 2012). Click on the datafile logo to reference the data.
Country
Gold Value
Debt
China
63
17.7
France
146
81.7
Germany
203
83.2
Indonesia
33
69.2
Italy
147
119
Netherlands
36
63.7
Russia
50
9.9
Switzerland
62
55
U.S.
487
93.2
Using the entire data set, develop the estimated regression equation that can be used to predict the debt of a country given the total value of its gold holdings.
y^ = (to 4 decimals) (to 4 decimals) Gold Value
Suppose that after looking at the scatter diagram in part (a) that you were able to visually identify what appears to be an…
Many countries, especially those in Europe, have significant gold holdings. But, many of these countries also have massive debts. The following data show the total value of gold holdings in billions of U.S. dollars and the debt as a percentage of the gross domestic product for nine countries (WordPress and Trading Economics websites, February 24, 2012).
Country
Gold Value
Debt
China
63
17.7
France
146
81.7
Germany
203
83.2
Indonesia
33
69.2
Italy
147
119
Netherlands
36
63.7
Russia
50
9.9
Switzerland
62
55
U.S.
487
93.2
a. Develop a scatter diagram for the total value of a country’s gold holdings ($ billions) as the independent variable.
b. What does the scatter diagram developed in part (a) indicate about the relationship between the two variables? Do there appear to be any outliers and/or influential observations? Explain.
c. Using the entire data set, develop the estimated regression equation that can be used to predict the debt of a country given the…
Chapter 14 Solutions
Modern Business Statistics with Microsoft Office Excel (with XLSTAT Education Edition Printed Access Card) (MindTap Course List)
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Compute the mean...Ch. 14.5 - The data from exercise 2 follow.
Compute the mean...Ch. 14.5 - The data from exercise 3 follow.
What is the...Ch. 14.5 - Prob. 26ECh. 14.5 - To identify high-paying jobs for people who do not...Ch. 14.5 - Broker Satisfaction Conclusion. In exercise 8,...Ch. 14.5 - Cost Estimation Conclusion. Refer to exercise 21,...Ch. 14.5 - Significance of Fleet Size on Rental Car Revenue....Ch. 14.5 - Significance of Racing Bike Weight on Price. In...Ch. 14.6 - 32. The data from exercise 1...Ch. 14.6 - 33. The data from exercise 2...Ch. 14.6 - Prob. 34ECh. 14.6 - 35. The following data are the monthly salaries y...Ch. 14.6 - 36. In exercise 7, the data on y = annual sales ($...Ch. 14.6 - In exercise 5, the following data on x = the...Ch. 14.6 - Prob. 38ECh. 14.6 - 39. In exercise 12, the following data on x =...Ch. 14.7 - The commercial division of a real estate firm...Ch. 14.7 - Following is a portion of the regression output...Ch. 14.7 - Prob. 43ECh. 14.7 - Auto Racing Helmet. Automobile racing,...Ch. 14.8 - Prob. 45ECh. 14.8 - Prob. 46ECh. 14.8 - Prob. 47ECh. 14.8 - Prob. 48ECh. 14.8 - Prob. 49ECh. 14.9 - Consider the following data for two variables, x...Ch. 14.9 - Prob. 51ECh. 14.9 - Predicting Charity Expenses. Charity Navigator is...Ch. 14.9 - Many countries, especially those in Europe, have...Ch. 14.9 - Valuation of a Major League Baseball Team. The...Ch. 14 - The Dow Jones Industrial Average (DJIA) and the...Ch. 14 - Home Sire and Price. Is the number of square feet...Ch. 14 - Online Education. One of the biggest changes in...Ch. 14 - Machine Maintenance. Jensen Tire & Auto is in the...Ch. 14 - Bus Maintenance. The regional transit authority...Ch. 14 - Studying and Grades. A marketing professor at...Ch. 14 - Used Car Mileage and Price. The Toyota Camry is...Ch. 14 - One measure of the risk or volatility of an...Ch. 14 - As part of a study on transportation safety, the...Ch. 14 - Consumer Reports tested 166 different...Ch. 14 - When trying to decide what car to buy, real value...Ch. 14 - Buckeye Creek Amusement Park is open from the...
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