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The regression line should be drawn on the scatter diagram in such a way that when the squared values of the vertical distance from each plotted point to the line are added, the total amount will be the smallest possible amount. This criterion is called the Method of Least Squares.
Minimizing the sum of the squared differences of each value of Y from the regression line by the method of calculus, we arrive at two equations, called the normal equations:
Solving these equations simultaneously, and using equivalent expressions for and , we obtain the following formulae used to calculate the coefficients a and b in the regression line = = a + bX
E(Y|X = x) = a + bx
Make a decision about the given claim. Use only the rare event rule, and make subjective estimates to determine whether events are likely. For example, if the claim is that a coi
Calculation for Discrete Series or Ungrouped Data The formula for computing mean is = where, f = fr
A researcher hypothesized that the pulse rates of long-distance athletes differ from those of other athletes. He believed that the runners’ pulses would be slower. He obtained a ra
1. Suppose you are estimating the imports (from both the U.S. mainland and foreign countries) of fuels and petroleum products in Hawaii (the dependent variable). The values of the
Poisson Distribution The poisson Distribution was discovered by French mathematician simon denis poisson. It is a discrete probability distribution. Meaning : In bi
Evaluate Gross Reproduction Rate: From the data given below compute : i) General Fertility Rate ii) Specific Fertility Rate iii) Total Fertility Rate iv)
We are interested in assessing the effects of temperature (low, medium, and high) and technical configuration on the amount of waste output for a manufacturing plant. Suppose that
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How can we analyse data with four bilateral response variables measured with errors and three covariated measured without errors?
A monopolist firm''s demand curve is given by P:100-2q. (a) Find its marginal revenue function.
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