A What is the meaning of the coefficients 010 and 533 in thi

A.) What is the meaning of the coefficients 0.10 and 5.33 in this equation in terms of the impact of F and R on Y?
B.) Does the -120 really mean negative amounts of corn? If not, what does this mean?
C.) If we were told the true value of Bf is known to be 0.20 does that show the estimate to be biased? Why/Why not?
D.) Suppose we were told that the equation does NOT meet all classical assumptions and therefore is not BLUE. Does this mean that the true Br is definitely not equal to 5.33? Why/Why not?

Solution

A) 0.1 means the yield of corn increases by 0.1 units when fertilizer increases by 1 unit. 0.533 is the increase in yiel of corn for every unit increase in rainfall.

B) In simple terms -120 actally means the yiel of corn when fertilizer and rainfall is 0. But since the yield cannot be negative, we take the R2 value. Since this value is very low, it indicates that some other significant factor has to considered whihc affects the yield of corn.

C)the estimator is unbiased only when E(B)=B, since here the values are not equal, it is not unbiased.

D) Since the equation is not BLUE, we understand that the estimtors are biased, hence the value of br is not equal to 5.33.