The regression analysis below characterizes the relationship

The regression analysis below characterizes the relationship between monthly ice cream consumption (in pints per household) and the independent variables \"average monthly temperature\" (in degrees Fahrenheit) and \"average price\" (in dollars per pint).

The coefficient of 0.027 for average monthly temperature informs us about:

A) The relationship between temperature and ice cream consumption when not controlling for price (i.e. allowing price to range freely).

B) The relationship between temperature and ice cream consumption when controlling for price (i.e. fixing price).

C)The relationship between temperature and ice cream price when controlling for consumption (i.e. fixing consumption).

D)The relationship between temperature and ice cream price when not controlling for consumption (i.e. allowing consumption to range freely).

Solution

The coefficient of a variable is interpreted as the relationship of the said independent variable (average monthly temp.) to the dependent variable (monthly ice cream consumption) while fixing all others (average price).

Thus, it is OPTION B. [ANSWER]