We wish to predict the salary for baseball players (y) using the variables RBI (x1) and...

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We wish to predict the salary for baseballplayers (y) using the variables RBI (x1) and HR (x2), then we use aregression equation of the form ˆy=b0+b1x1+b2x2.

  • HR - Home runs - hits on which the batter successfully touchedall four bases, without the contribution of a fielding error.
  • RBI - Run batted in - number of runners who scored due to abatters' action, except when batter grounded into double play orreached on an error
  • Salary is in millions of dollars.

The following is a chart of baseball players' salaries andstatistics from 2016.

Player NameRBI'sHR'sSalary (in millions)
Miquel Cabrera1083828.050
Yoenis Cespedes863127.500
Ryan Howard592525.000
Albert Pujols1193125.000
Robinson Cano1033924.050
Mark Teixeira441523.125
Joe Mauer491123.000
Hanley Ramirez1113022.750
Justin Upton873122.125
Adrian Gonzalez901821.857
Jason Heyward49721.667
Jayson Werth702121.571
Matt Kemp1083521.500
Jacoby Ellsbury56921.143
Chris Davis843821.119
Buster Posey801420.802
Shin-Soo Choo17720.000
Troy Tulowitzki792420.000
Ryan Braun913120.000
Joey Votto972920.000
Hunter Pence571318.500
Prince Fielder44818.000
Adrian Beltre1043218.000
Victor Martinez862718.000
Carlos Gonzalez1002517.454
Matt Holliday622017.000
Brian McCann582017.000
Mike Trout1002916.083
David Ortiz1273816.000
Adam Jones832916.000
Curtis Granderson593016.000
Colby Rasmus541515.800
Matt Wieters661715.800
J.D. Martinez68226.750
Brandon Crawford84126.000
Rajai Davis48125.950
Aaron Hill381012.000
Coco Crisp551311.000
Ben Zobrist761810.500
Justin Turner90275.100
Denard Span53115.000
Chris Iannetta2474.550
Leonys Martin47154.150
Justin Smoak34143.900
Jorge Soler31123.667
Evan Gattis72323.300
Logan Forsythe52202.750
Jean Segura64202.600

a) Use software to find the multiple linear regression equation.Enter the coefficients rounded to 4 decimal places.
ˆy= ______ + _____ x1 + ______ x2


b) Use the multiple linear regression equation to predict thesalary for a baseball player with an RBI of 31 and HR of 20. Roundyour answer to 1 decimal place, do not convert numbers todollars.
      ________ millions of dollars

c) Holding all other variables constant, what is the correctinterpretation of the coefficient b1=0.111 in the multiple linearregression equation?

  • For each HR, a baseball player's predicted salary increases by0.111 million dollars.
  • For each RBI, a baseball player's predicted salary increases by0.111 million dollars.
  • If the baseball player's salary increases by 0.111 milliondollars, then the predicted RBI will increase by one.
  • If the baseball player's salary increases by 0.111 milliondollars, then the predicted RBI will increase by 0.0371.

d) Holding all other variables constant, what is the correctinterpretation of the coefficient b2=0.0371 in the multiple linearregression equation?

  • If the baseball player's salary increases by 0.0371 milliondollars, then the predicted HR will increase by one.
  • If the baseball player's salary increases by 0.0371 milliondollars, then the predicted HR will increase by 0.111.
  • For each RBI, a baseball player's predicted salary increases by0.0371 million dollars.
  • For each HR, a baseball player's predicted salary increases by0.0371 million dollars.

Answer & Explanation Solved by verified expert
3.9 Ratings (440 Votes)

Output using excel:

SUMMARY OUTPUT
Regression Statistics
Multiple R 0.423071
R Square 0.178989
Adjusted R Square 0.1425
Standard Error 6.964542
Observations 48
ANOVA
df SS MS F Significance F
Regression 2 475.8568 237.9284 4.90525 0.011826
Residual 45 2182.718 48.50485
Total 47 2658.575
Coefficients Standard Error t Stat P-value Lower 95% Upper 95% Lower 95.0% Upper 95.0%
Intercept 7.061791 2.964789 2.381886 0.021513 1.090399 13.03318 1.090399 13.03318
RBI's 0.110976 0.068915 1.610321 0.114321 -0.02783 0.249778 -0.02783 0.249778
HR's 0.03709 0.186675 0.198688 0.843401 -0.33889 0.413074 -0.33889 0.413074

a) Regression equation:

y? = 7.0618 + 0.1110 x1 + 0.0371 x2

b) Predicted salary for RBI = 31 and HR = 20

y? = 7.0618 + 0.1110 * 31 + 0.0371 *20 = 11.2 millions of dollars

c) Answer: For each RBI, a baseball player's predicted salary increases by 0.111 million dollars.

d) Answer: For each HR, a baseball player's predicted salary increases by 0.0371 million dollars.


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