Answer to Question #41402 in Statistics and Probability for aniket kumar

Question

An economist want to estimate a multiple regression equation in which the (3)
amount saved by the ith family depends on the family’s income, whether the
family is graduate or non graduate, and whether the family is headed by a male
or female. Explain how a regression equation of this sort can be estimated. What
is the dependent variable ? What are the independent variables? What assumption
must be made ?