In our correlation analysis of the Producer Price Index (PPI…
In our correlation analysis of the Producer Price Index (PPI) and Oil prices, we calculated our regression function to be: Y = 0.1177x + 1.4541, where Y = the % Change in PPI and X = % Change in Oil Prices. If oil prices decreased 30%, what by what percent would you forecast the PPI to change? Enter your answer rounded to the nearest hundredth with no % symbol, e.g. 6.837% = 6.84