Real estate redux The regression of Price on Size of homes in Albuquerque had R 2 = 71.4%, as described in Exercise 29.  a) What is the correlation between Size and Price?  b) What would you predict...

Real estate redux The regression of Price on Size of homes in Albuquerque had R²
= 71.4%, as described in Exercise 29.

 a) What is the correlation between Size and Price?

 b) What would you predict about the Price of a home 1 SD above average in Size?

 c) What would you predict about the Price of a home 2 SDs below average in Size?

Exercise 29

Real estate A random sample of records of home sales from Feb. 15 to Apr. 30, 1993, from the files maintained by the Albuquerque Board of Realtors gives the Price and Size (in square feet) of 117 homes. A regression to predict Price (in thousands of dollars) from Size has an R²
of 71.4%. The residuals plot indicated that a linear model is appropriate.

 a) What are the variables and units in this regression?

 b) What units does the slope have?

 c) Do you think the slope is positive