A regression analysis between demand ( y in 1000 units) and price ( x in dollars) resulted in the following equation = 9 – 3 x The above equation implies that if the price is increased by $1, the demand is expected to.

a. increase by 6 units
b. decrease by 3 units
c. decrease by 6,000 units
d. decrease by 3,000 units

Step-by-step explanation:

We are given the regression equation as Y=9-3X, where Y is demand in 1000 units and X is price in dollars.

Suppose initially the price is $1, so demand is {(Y=9-3*1) = 6} i.e., 6000.

And now we increased our price to $2.so demand is {(Y=9-3*2) = 3} i.e., 3000.

So, by increasing our price by $1 demand decreased by 3000 units.

So, our ans is d.

I hope I have cleared your doubt.

Have a very good day.

x = 12

y = 1

for the points!