Regression Case

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Alumnigiving.pdf

197 Cose Problem Alumni Giving

case Problem Alumni Giving

BostonCollege. Brandeis UniversitY

Brown Universiry

Catifomia Institute of Technology

Camegie Mellon UniversitY

Case Western Reserve Univ.

College ol William and MarY

Columbia UniversitY

Cornell Universiry Dartmouth College

Duke UniversitY

Emory University Georgetown UniversitY

Harvard UniversitY

Johns Hopkins Uni versitY

Lehigh University

Massachusetts lnstitute of Technology

New York Universiry

Northwestem UniversitY

Pennsylvania State Univ.

Princeton UniversitY

Rice University Stanford UniversitY

Tufts University Tulane UniversitY Universiry of Califomia-

Berkeiey

University of Calilornia-Davi s

University of California-Irvine Universiry of Califomi a-

Los Angeles

U niversity of Californi a- San Diego

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Alumni donations are an important source of revenue for colleges and universities. If admin-

isffators could determine the factors that could lead to increases in the percentage of alumni

who make a donation, they might be able to implement policies that could lead to increased

revenues. Research shows that students who are more satisfied with their contact with teachers

are more Likely to graduate. As a result, one might suspect that smaller class sizes and lower stu-

dent/faculty ratios-might lead to a higher percentage of satisfied graduates, which in tum might

lead to incieases in the percentage of alumni who make a donation. The following table shows

data for 4g national universities. The Graduation Rate column is the percentage of students who

initially enrolled at the university and graduated. The % of Classes Under 20 column shows the

p"r""rrug", of classes offered with fewer than 20 students. The Student/Faculty Ratio column

L the number of students enrolled divided by the total number of faculty' Finally, the Alumni

Giving Rate column is the percentage of alumni who made a donation to the universify'

, , i%:of, ''Studenfl Afupqi Grailuation, Classes' ''l Faculty Gjving

. Ratel ' Under20,'' , .Ratio I Rate

PA OH VA NY NY NH NC GA DC. MA MB PA MA

19.8

(continued)

Chopter 4 Lineor Regression

Univsr-r.i1y ol Crli lornia_ Santa Barbara

University of Chicago University of Floricla University of Illinois_

Urbana Charnpaign University of Michigan_

Ann Arbor Universiry ol Nonh Carolina_

Chapel Hill University of Notre Dame University of pennsylvania University o1, Rochester University of Southem

Califomia University of Texas_Austin University of Virginia University of Washington University of Wisconsin_

Madison Vanderbilt University Wake Forest Univers:ity Washington University-St. Louis Yale University

_ Graduation ,,!f?r:[: tJ*.#y

t,Xffi,State Rate U"a". ZO 'Riit,r, RatecA704520|2

FIGURE 4.38

L84 FL 67 L77

MI 83

NC 82

IN ol PA 90 NY 76 cA 70

TX VA WA WI

TN NC MO CT

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Monogeriol Report 1. Use methods of descriptive statistics to summarize the data.2. Develop fln eslinrared simple lir"u;,;;;;:ion rnor-lel rhar r.an be used ro pretlicr rhealumni givinr rate. giren rhe graduar ion rare. Dircur, lour finding:.3' Derctop an.rri*rria m.urripr-e rir;;,:;;e;rrion moder rhar courjbe ured ro precricrthe alumni giving rare using ihe c.rarutri, Rare, 7o of crasr., u;;; 20,,.ndStudent/Faculty Ratio as independent variables. Discuss your findings.4' Based on the results in parh 2 and 3, do y", .,.ri"* urotrr".-.f."ssion model may bemore appropriate ? Estimate this moder, and <.liscuss yor. ..rurt?--

--'

t Hi;J,il[:]:]':TH,11,:':o,,,.nou,io,JJ",.ro, derive r,-om your analysis? what expected,gi,.n*"r"Eiffi:?'ff [:,il:ir:r,:i:Tr1:ffi

a jJf ,,,lH,H::lrrRatio? whar universfties are achieuing u'r.,ur,";;;,;r;oi,.".;;#lgiving

rare rhanwould be expected, given their Graduafion nr,", z, of Classes untter 20, and Student/Faculty Ratio ? what other independent "".iutr". coul<i be inclLrded in the moder?

Appendix Using XLMiner for Regression

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To show how XLMiner c3 !e Lrsed tbr regress-ion anarysis, we again develop a murtipreregression moder fbr the B.utler Trucking 6on,pury example. The dependent vzrriabre isTravel Time (v), ana the independent uu.iiuio'ure Miles (x,) and Deliveries (-r,) are shown

lx I'ffi i :i #:i ifj.y*: iff ; t*jF; i : o r,, ui o". f", D " i ;;;;, ;;J i; til#il