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Introduction to Case Study. The Research Methods: Ways to find out if the Tollgate has an impact on property values. Hedonic Pricings
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12. 33% - 1000
44% - on 150033% - 1000
44% - on 1500
18. Multiple Regression Find the relationship between several independent variables and a dependent variable
Try to fit a straight line to a number of points in a scatter plot technique used is called least squares
19. How to compute Regression equation using 3
independent variables:
Y = a + B1*X1 + B2*X2 + B3*X3
a = constant (y intercept)
B = regression coefficient (slope of line) represents the independent contributions of each independent variable to the prediction of the dependent variable.
23. t-test and R-square R2 or the coefficient of determination: between 0 and 1
R2 of .4 means we have explained 40% of the original variability.
Adjusted R2 measures the proportion of the variation in the dependent variable accounted for by the explanatory variables .
24. F statistic and Durbin-Watson variable F is used to test the significance of R2
Larger values of F allow us to say that at least one of our predictors is linearly related to the response
Durbin-Watson (d): between 0 and 4 with 1.5 2.5 acceptable range
D is low: indicates presence of positive autocorrelation
D is high: indicates negative autocorrelation which is uncommon
31. survey respondents who felt that poor exterior maintenance of neighborhood homes (19.6%) was a negative characteristic of the neighborhood affecting property values (open-ended Q.7), believed that the poor maintenance was related to amount of rental properties in the area. survey respondents who felt that poor exterior maintenance of neighborhood homes (19.6%) was a negative characteristic of the neighborhood affecting property values (open-ended Q.7), believed that the poor maintenance was related to amount of rental properties in the area.