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Linear regression is widely used in biological behavioral and social sciences to describe relationship between variables. It ranks as one of the most important tools used in these disciplines.
1.Medicine: As one example early evidence relating tobacco smoking to mortality and morbidity came from studies employing regression. Researchers usually include several variables in their regression analysis in an effort to remove factors that might produce spurious correlations. For the cigarette smoking example researchers might include socio economic status in additional to smoking to ensure that any observed effect of smoking on mortality is not due to some effect of education or income. However it is never possible to include all possible confounding variables in a study employing regression. For the smoking example a hypothetical gene might increase mortality and also cause people to smoke more. For this reason randomized controlled trains are considered to be more trustworthy than a regression analysis.
2. Finance: Linear regression underlies the capital asset pricing model, and the concept of using beta for analyzing and quantifying the systematic risk of an investment. This comes directly from the beta coefficient of the linear regression model that relates the return on the investment to the return on all risky assets.
A study was conducted at a major north-eastern American medical centre regarding blood cholesterol levels and heart-attack incidents. A total of 28 heart-attack patients had their
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A coin was flipped twenty times and landed on heads fifteen times. If the coin was balanced fair what is the probability of a head on the next toss
PART 1 Shown below are the sales revenue and advertising cost data for seven companies published by International Advertising Age. COMPANY ADVERTISING ($ MILLIONS) SALES ($ BILLION
This problem will introduce the learner into a technique called Analysis of Variance. For this course we will only conduct a simple One-Way ANOVA and touch briefly on the importan
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Traditional cost accounting has been based on allocating a subjective or calculated range of indirect expenses to direct costs. Activity Based Costing (ABC) offers an alternative a
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During October, Alcorn Company had 81,250 of cash receipts and 83,688.00 of cash disbursements. The October 31 cash balance was 14,060. Determine how much cash the company had at
SCENARIO It is proposed to construct a 3m diameter, 50m long tunnel, heading 0950, through the andesite lava flow at Maori Bay (Muriwai). As part of the preliminary investigati
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