There is a wide disparity between education systems across the world. Suppose we have a dataset for 42

There is a wide disparity between education systems across the world. Suppose we have a dataset for 42 countries. The variable X is the average years of formal education for a person in a country, and Y is the per capita income (in thousands of dollars) in that country. We find a positive relationship between the two variables. Additionally, our regression shows the following results:



a. According to the regression results above, what percentage of the variation in income is explained by the education level?

b. What is the value of b₁ in the regression Y=b₀+b₁X? (Hint: what is SSR and how is that related to b₁?)

c. Suppose the answer to part b is b₁=4 (it is not, but to avoid compounding any mistakes, assume it is to answer the following). What is the value of b₀?

d. Continue to assume that b₁=4. What is the 90% confidence interval for the true population slope coefficient β1?