A.     What is the least squares estimator of á?

B.     What is the least squares estimator of â₁, the coefficient of X₁?

C.    What is the least squares estimator of â₂, the coefficient of X₂?

 

Show the formulas and the computations. You can check your work with Excel or other statistical software.

 

Hello. I have a question on just how the homework is supposed to be presented when it is sent in. Are we expected to do all the formulas by hand, or can we show the formulas and what we are computing with Excel doing the actual computation? Thank you!

[NEAS: Computations can be done with Excel; no need to do any work by hand.]

How do you use Excel to do regression analysis with 2 indepenent variables and 1 dependent variable?

When I click on Data Analysis, it doesn't give option for multivariate regression...

[NEAS: The x-variable can be a matrix with up to 16 columns, for 16 explanatory variables. The form is does not say this explicitly, and the help is not of much help; try it to see how it works.]

You can also use RExcel add in. It will save a lot of time writing code. However, it'll take a bit of time trying to figure out how to use it. Or you could get the Analysis data tool pack. By itself, Excel is somewhat ill equipped to handle advanced statistical analysis.