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3. interpret the coefficient on logged real gasoline price lnp in...

# Question: interpret the coefficient on logged real gasoline price lnp in...

###### Question details

Interpret the coefficient on logged real gasoline price (lnP) in terms of the sign, magnitude and statistical significance. What does this estimate tell us about the average response of gasoline demand to changes in prices from 1975-1980.

[lnGas = ln(gascap)

lnP = ln(realprice)

lnInc = ln(inccap)

realprice = Real price of gasoline (2000 $) gascap = Gas demanded per capita (gallons per month) inccap = Real income per capita (2000$)

date = Year and month of observation (text)

year = Year of observation

month = Month of observation]