does anyone know how to type this in R What is the predicted wage growth if unemployment is 2.50 and the economy is not in recession? (be sure to use single quotes when setting the value for economy) " that the code I used : model7 <- lm(wage_growth ~ unemployment + economy + unemployment:economy + I(unemployment^2) + I(unemployment^2):economy, data=economic) summary(model7) newdata <- data.frame(unemployment = 2.50 , economy='not in recession') print("prediction interval") prediction_pred_int <- predict(model7, newdata, interval="predict", level=0.90) round(prediction_pred_int,4) print("confidence interval") prediction_conf_int <- predict(model7, newdata, interval="confidence", level=0.90) round(prediction_conf_int,4) I think the line that is bold is the problem but I don't know how to fix it. that the error msg I keep getting : Error in model.frame.default(Terms, newdata, na.action = na.action, xlev = object$xlevels): factor economy has new level not in recession Traceback: 1. predict(model7, newdata, interval = "predict", level = 0.9) 2. predict.lm(model7, newdata, interval = "predict", level = 0.9) 3. model.frame(Terms, newdata, na.action = na.action, xlev = object$xlevels) 4. model.frame.default(Terms, newdata, na.action = na.action, xlev = object$xlevels) 5. stop(sprintf(ngettext(length(m), "factor %s has new level %s", . "factor %s has new levels %s"), nm, paste(nxl[m], collapse = ", ")), . domain = NA) bs in the example used in class the professor used this code: newdata <- data.frame(inflation=2.1, economy='recession').

1. does anyone know how to type this in R What is the predicted wage growth if unemployment is
2.50 and the economy is not in recession? (be sure to use single quotes when setting the value for
economy) "
that the code I used : model7 <- lm(wage_growth ~ unemployment + economy +
unemployment:economy + I(unemployment^2) + I(unemployment^2):economy, data=economic)
summary(model7)
newdata <- data.frame(unemployment = 2.50 , economy='not in recession')
print("prediction interval") prediction_pred_int <- predict(model7, newdata, interval="predict",
level=0.90) round(prediction_pred_int,4)
print("confidence interval") prediction_conf_int <- predict(model7, newdata, interval="confidence",
level=0.90) round(prediction_conf_int,4)
I think the line that is bold is the problem but I don't know how to fix it.
that the error msg I keep getting :
Error in model.frame.default(Terms, newdata, na.action = na.action, xlev = object$xlevels): factor
economy has new level not in recession Traceback: 1. predict(model7, newdata, interval =
"predict", level = 0.9) 2. predict.lm(model7, newdata, interval = "predict", level = 0.9) 3.
model.frame(Terms, newdata, na.action = na.action, xlev = object$xlevels) 4.
model.frame.default(Terms, newdata, na.action = na.action, xlev = object$xlevels) 5.
stop(sprintf(ngettext(length(m), "factor %s has new level %s", . "factor %s has new levels %s"),
nm, paste(nxl[m], collapse = ", ")), . domain = NA)
bs in the example used in class the professor used this code: newdata <-
data.frame(inflation=2.1, economy='recession')