We will be using the PewShop data which you can download from Canvas. You must include the output to receive full credit (regression tables; frequency tables).
1. You decide to investigate whether parents as compared to non-parents are more likely to own technological gadgets, like cell phones, tablets, etc. You decide to run a regression using the variable XYparent (not parent=0, parent=1) and the variable XYtechindex (which is the number of technological gadgets the person owns, such as cellphones, ebooks, tablets, ipods, game consoles, etc.). Think about what your independent variable is and what your dependent variable is and run a linear regression in SPSS (2 points).
a. Using the information in the SPSS output, what is the equation for the regression line? (1 point)
b. How many tech gadgets are parents predicted to own? (1 point)
c. How many tech gadgets are non-parents predicted to own? (1 point)
d. Is this slope coefficient for parenthood statistically significant? (1 point)
e. What is the null hypothesis? (1 point) Can we reject it? (1 point) What is our end conclusion? (1 point)
2. Now you want to investigate the types of communities people live in and whether that affects income. For this, you are going to use the variable XYcommunity (0=Rural, 1=Suburban, 2= Urban). You are going to create dummy variables, using suburban as the reference group.
a. Create a new variable named Rural and add the variable label: Rural Dummy. (1 point)
b. Recode Rural variable such that 1= Rural and 0=Suburban or Urban. (1 point)
c. Check that this has been recoded correctly by creating a frequency distribution for XYcommunity and a frequency distribution for Rural. Using the frequency distributions, prove that it has been correctly recoded (1 point). (Note: you need to complete this step to get credit for the previous steps).
d. Create a new variable named Urban and add the variable label: Urban Dummy. (1 point)
e. Recode Urban variable such that 1= Urban and 0=Rural or Suburban. (1 point)
f. Check that this has been recoded correctly by creating a frequency distribution for XYcommunity and a frequency distribution for Urban. Using the frequency distributions, prove that it has been correctly recoded (1 point). (Note: you need to complete this step to get credit for the previous steps).
3. Now it is time to run a regression using your newly created Rural and Urban variables. Run a regression on XYincome (income in thousands of dollars) including both the Rural and Urban dummy variables you just created as the two independent variables (2 points).
a. Using the information in the SPSS output, what is the equation for the regression line? (2 points)
b. What income are rural residents predicted to have? (1 point)
c. What income are suburban residents predicted to have? (1 point)
d. What income are urban residents predicted to have? (1 point)
e. What can we conclude about the slope coefficient for rural? (what is the null hypothesis, do we reject it, what is our conclusion?) (3 points)
Extra credit: What proportion of variation in income is explained by community type? (2 points)
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