Final answer:
To compare and evaluate the three simple regression models estimated by Carlton, follow the steps of drawing scatter plots, calculating least-squares lines, finding correlation coefficients, and determining average CPI.
Step-by-step explanation:
The question is asking to compare and evaluate the three simple regression models estimated by Carlton. To accomplish this, you can follow these steps:
- Draw a scatter plot of the data.
- Calculate the least-squares line by finding the equation in the form ý = a + bx.
- Draw the line on the scatter plot.
- Find the correlation coefficient and determine if it is significant.
- Find the average CPI for the year 1990.
After completing these steps for each model, you can discuss and record your answers.