The Theory Of Regression Results - 1245 Words

DESCRPTION OF REGRESSION RESULTS In order to empirically examine the extent to which changes in price causes changes in broiler (chicken) consumption, time-series data was collected on 40 observations extending from 1960 to 1999 on nine explanatory variables in total. I regressed this data using an Ordinary-Least Squares (OLS) approach. The main explanatory variable used for my analysis was the consumer price index (CPI) for whole fresh chicken with the base years denoted as the 1982 to 1984 time period. The econometric model for my regression analysis is listed below: Broiler Consumption = a+ÃŽ ²_(1 ) (CPI of broilers)+ ÃŽ ²_2 (income)+ ÃŽ ²_3 (population)+ÃŽ ²_(4 ) (CPI for beef)+ÃŽ ²_(5 ) (PPI for corn)+ ÃŽ ²_(6 ) (NPI for broiler feed)+ÃŽ ²_7 (CPI)+ÃŽ ²_8 (AP of Broilers)+ÃŽ ²_9 (population)+ÃŽ ²_(10 ) (exports of beef,veal and pork)+ ÃŽ µ Data regarding my dependent variable was originally collected as pounds consumed per capita. However, I multiplied the per capita broiler consumption data by 100,000 to obtain broiler consumption in pounds per 100,000 people. In this way, I was able to obtain a larger coefficient on a few of the variables, which allowed for a more suitable display and discussion of the results in the paper. Further, the objective of this analysis was to explain to what extent price of broilers (CPI on whole fresh chicken) impacts broiler consumption in pounds. Specifically, the coefficients on the explanatory variables illustrate their respective effects on the numberShow MoreRelatedThe Statistical Phenomenon Regression Of An English Victorian Statistician By Francis Galton1613 Words   |  7 Pagesstatistical phenomenon Regression to the Mean is present when a condition reaches a high degree as it is first observed, then reverts to the average when later observed. It is also present when a conditi on remains average during the first observation and fluctuates highly during the second. 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