I have a case study on regression analysis due in 2 days. I'm taking this course online so it is difficult to comprehend the information the professor is giving. The information below is the criteria we are supposed to use as well as the questions we are to answer.
Soft Drinks Case Study
Soft drink consumption in cans per capita per year is related to six-pack price, income per capita, and mean temperature across the 48 contiguous states in the United States.
1. Estimate the demand for soft drinks using the data provided below.
2.Interpret the coefficients and calculate the price elasticity of soft drink demand at the mean.
3.Omit price from the regression equation. Describe the signs of the estimated coefficients and the statistical significance of the coefficients.
4.Now omit both price and temperature from the regression equation. Should a marketing plan for soft drinks be designed that relocates most canned drink machines into low-income neighborhoods? Why or why not? Justify your answer.
TABLE 1. SOFT DRINK DEMAND DATA
State Cans/Capita/Yr 6-Pack Price ($) Income/Capita ($1,000) Mean Temp. (F)