How is r-squared calculated
Problem: How is R-squared calculated, and what information does this give you?
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How did this differentiation in geographical market measurement affect the pricing behavior estimated by the FTC and by the merging firms? What is the economic term we commonly use for "price sensitive" as used in the paper?
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Calculate the elasticity for each variable (own price elasticity, cross price elasticity, income elasticity, and elasticity of demand for Advertising) and briefly comment on what that information gives you in each case.
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