¶ … Decision Making
This section analyzes the farm data of the Department of Agriculture and explores the relationship between the total number of the U.S. farms (x) and average farm size (y). The paper carries out the regression analysis for the interpretation. From the analysis, the average farm size (y) is the dependent variable and U.S. farms (x) is the independent variable. The paper uses the following equation to determine the relationship between y (dependent variable) and x (the independent variable):
y =bx +a
The summary output of the regression analysis is as follows:
SUMMARY OUTPUT
Regression Statistics
Multiple R
R Square
Adjusted R Square
Standard Error
11,10
Observations
59,00
ANOVA
df
SS
MS
F
Significance F
Regression
1,00
304747,47
304747,47
2474,96
0,00
Residual
57,00
7018,53
123,13
Total
58,00
311766,00
Coefficients
Standard Error
t Stat
P-value
Lower 95%
Upper 95%
Lower 95,0%
Upper 95,0%
Intercept
598,61
4,55
131,58
0,00
589,50
607,72
589,50
607,72
Number of U.S. Farms
0,00
0,00
-49,75
0,00
0,00
0,00
0,00
0,00
Interpretation of the Regression Analysis
Based on the output of the regression analysis, the R-Square...
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