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Why does the sign of the price elasticity coefficient become negative?
Well if that is... no ones knows But i do know that im awesome and jww is cool
How can one interpret regression output effectively?
To interpret regression output effectively, focus on the coefficients of the independent variables. These coefficients represent the impact of each variable on the dependent variable. A positive coefficient indicates a positive relationship, while a negative coefficient indicates a negative relationship. Additionally, pay attention to the p-values to determine the statistical significance of the coefficients.
Are two goods complements if the cross-elasticity coefficient is negative?
Cross Elasticity Coefficient is defined as when the price of a particular commodity rises how is the demand of another commodity changing. If the goods are complements like say for example petrol and petrol driven cars, if there is a price hike in petrol then demand for petrol cars would fall. Hence a negative cross elasticity of coefficient. On the other hand the demand for deisel cars would rise (given the deisel prices are constant) because they serve as substitutes, and will have a positive cross elasticity.
Where is a coefficient located?
A coefficient is the number in front of a variable. For example, consider the expression '2y' y is the variable 2 is the coefficient
What does it mean if the price elasticity of demand is 2?
It's an elasticity coefficient of demand: deltaD/deltaP When the coefficient is >1 it is an elastic demand When the coefficient is <1 it is a nonelastic demand
