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Additional predicted startup

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Reference no: EM131798817

Many of today's leading companies, including Google, Microsoft, and Facebook, are based on technologies developed within universities. Lisa Fisher is a business school professor who would like to analyze university factors that enhance innovation. She collects data on 143 universities in 2008 for a regression where the response variable is the number of startups (Startups), which is used as a measure for innovation. The explanatory variables include the university's research expenditure in $ millions (Research), the number of patents issued (Patents), and the age of its technology transfer office in years (Duration). A portion of the data is shown below; the complete data set can be found on the text website, labeled Startups.

1204_factors that enhance innovation.png

a. Estimate: Startups = β0 + Research + β2 Patents + β3 Duration + ε.

b. Predict the number of startups for a university that spent $120 million on research, issued 8 patents, and has had a technology transfer office for 20 years.

c. How much more research expenditure is needed for the university to have an additional predicted startup, with everything else being the same?

Reference no: EM131798817

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