Module 10: Enrollment Data

Author

Bryce Nelson

str(enroll)
'data.frame':   29 obs. of  5 variables:
 $ YEAR : int  1 2 3 4 5 6 7 8 9 10 ...
 $ ROLL : int  5501 5945 6629 7556 8716 9369 9920 10167 11084 12504 ...
 $ UNEM : num  8.1 7 7.3 7.5 7 6.4 6.5 6.4 6.3 7.7 ...
 $ HGRAD: int  9552 9680 9731 11666 14675 15265 15484 15723 16501 16890 ...
 $ INC  : int  1923 1961 1979 2030 2112 2192 2235 2351 2411 2475 ...

Make scatterplots

Enrollment against the other variables

plot(enroll$UNEM, enroll$ROLL,
     xlab = "Unemployment Rate (%)",
     ylab = "Fall Enrollment",
     main = "Enrollment vs Unemployment")

plot(enroll$HGRAD, enroll$ROLL,
     xlab = "Spring High School Graduates",
     ylab = "Fall Enrollment",
     main = "Enrollment vs Spring High School Graduates")

plot(enroll$INC, enroll$ROLL,
     xlab = "Per Capita Income",
     ylab = "Fall Enrollment",
     main = "Enrollment vs Income")

Observing the scatterplots, there is an increasingly linear relationship between enrollment and unemployment, spring graduation, and income, respectively.

Build a linear model

Use the unemployment rate (UNEM) and number of spring high school graduates (HGRAD) to predict the fall enrollment (ROLL), i.e.ROLL ~ UNEM + HGRAD

fit1 = lm(ROLL ~ UNEM + HGRAD, data = enroll)

Use the summary() and anova() functions to investigate the model

summary(fit1)

Call:
lm(formula = ROLL ~ UNEM + HGRAD, data = enroll)

Residuals:
    Min      1Q  Median      3Q     Max 
-2102.2  -861.6  -349.4   374.5  3603.5 

Coefficients:
              Estimate Std. Error t value Pr(>|t|)    
(Intercept) -8.256e+03  2.052e+03  -4.023  0.00044 ***
UNEM         6.983e+02  2.244e+02   3.111  0.00449 ** 
HGRAD        9.423e-01  8.613e-02  10.941 3.16e-11 ***
---
Signif. codes:  0 '***' 0.001 '**' 0.01 '*' 0.05 '.' 0.1 ' ' 1

Residual standard error: 1313 on 26 degrees of freedom
Multiple R-squared:  0.8489,    Adjusted R-squared:  0.8373 
F-statistic: 73.03 on 2 and 26 DF,  p-value: 2.144e-11
anova(fit1)
Analysis of Variance Table

Response: ROLL
          Df    Sum Sq   Mean Sq F value    Pr(>F)    
UNEM       1  45407767  45407767  26.349 2.366e-05 ***
HGRAD      1 206279143 206279143 119.701 3.157e-11 ***
Residuals 26  44805568   1723291                      
---
Signif. codes:  0 '***' 0.001 '**' 0.01 '*' 0.05 '.' 0.1 ' ' 1

Make a residual plot

Check for any bias in the model (Residual is which =1)

plot(fit1, which = 1)

The plot shows clustering around zero and curvature in the smoothing line. There are also points with strong influence (Cook’s Distance plot below). Overall, I don’t think this model is showing the full picture of enrollment varaibles.

Cook’s Distance plot
plot(fit1, which = 4)

Use the predict() function

Estimate the expected fall enrollment, if the current year’s unemployment rate is 9% and the size of the spring high school graduating class is 25,000 students. Note: The column names in the new data frame must match the predictor names used in the model.

est = data.frame(UNEM = 9,HGRAD = 25000)

predict(fit1, est)

Expected enrollment is 21,586 students when unemployment is 9% and the graduating high school class is 25,000.

Build a second model

Include per capita income (INC).

fit2 = lm(ROLL ~ UNEM + HGRAD + INC, data = enroll)

Compare the two models with anova().

summary(fit2)

Call:
lm(formula = ROLL ~ UNEM + HGRAD + INC, data = enroll)

Residuals:
     Min       1Q   Median       3Q      Max 
-1148.84  -489.71    -1.88   387.40  1425.75 

Coefficients:
              Estimate Std. Error t value Pr(>|t|)    
(Intercept) -9.153e+03  1.053e+03  -8.691 5.02e-09 ***
UNEM         4.501e+02  1.182e+02   3.809 0.000807 ***
HGRAD        4.065e-01  7.602e-02   5.347 1.52e-05 ***
INC          4.275e+00  4.947e-01   8.642 5.59e-09 ***
---
Signif. codes:  0 '***' 0.001 '**' 0.01 '*' 0.05 '.' 0.1 ' ' 1

Residual standard error: 670.4 on 25 degrees of freedom
Multiple R-squared:  0.9621,    Adjusted R-squared:  0.9576 
F-statistic: 211.5 on 3 and 25 DF,  p-value: < 2.2e-16
anova(fit1, fit2)
Analysis of Variance Table

Model 1: ROLL ~ UNEM + HGRAD
Model 2: ROLL ~ UNEM + HGRAD + INC
  Res.Df      RSS Df Sum of Sq     F    Pr(>F)    
1     26 44805568                                 
2     25 11237313  1  33568255 74.68 5.594e-09 ***
---
Signif. codes:  0 '***' 0.001 '**' 0.01 '*' 0.05 '.' 0.1 ' ' 1

Does including this variable improve the model?

The higher R2 value and the smaller p-value for model 2 indicate that including income improves the model. Model 1 had an R2 of about 84% and p-value of 2.144e-11. Model 2 has an R2 of 96% and a p-value less than 2.2e-16.This also fits what is shown by the observable linear relationships in the first 3 scatterplots.