Qc=100 000-100Pc +2000N +50l +30 PF -1000 PG+3A+40 000P1 Where Qc= quantity dema

Qc=100 000-100Pc +2000N +50l +30 PF -1000 PG+3A+40 000P1 Where Qc= quantity demanded per year of Chevrolet automobiles
Pc = price of Chevrolet automobiles in dollars
N = population of the United States in millions
I = per capita disposable income in dollars
PF = price of Ford automobiles in dollars
PG = price of GM automobiles in dollars
A = advertising expenditures by Chevrolet in dollars per year
P1 = credit incentives to purchase Chevrolet in preceding points below the rate of interest on borrowing in the absence of incentives
a. Indicate the change in the number of Chevrolets purchased per year (Qc) for each unit change in the independent or explanatory variable.b. Find the value of Qc if the average value of Pc =$9 000; N= 200 million; I= $10 000; PF=$8000; PG =80 cents; A= $200 000; and if P1=1.c. Derive the equation for the demand curve for Chevroletd. Plot the demand curve
2) Basic Estimation techniques
Ten data points on Y and X are employed to estimate the parameters in the linear relation Y = a+bX. The computer output from the regression analysis is the following:Dependent variable; R-square F-ratio Pvalue
Observations: 10 0.5223 8.747 0.0187Parameter Standard
Variable Estimate Error T-ratio Pvalue
Intercept 800 189.125 4.23 0.0029
X -2.5 0.85 -2.94 0.0187a. What is the equation of the sample regression line?b. Test the intercept and slope estimates for statistical significance at the 1 percent significance level. Explain how you performed this test and present your results.c. Interpret the p-values for the parameter estimates.d. Test the overall equation for statistical significance at the 1 % significance level. Explain how you performed this test and present your results. Interpret the p-value for the F statisticse. If X equals140 what is the fitted (or predicted) value of Y?f. What faction of the total variation in Y is explained by that regression?
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