Ch15 Simple Linear Regression and Correlation 商务统计学概论(英文第四版)教学课件 Introduction to Business Statistics.pptVIP

CHAPTER 15Simple Linear Regressionand Correlation to accompany Introduction to Business Statistics fourth edition, by Ronald M. Weiers Presentation by Priscilla Chaffe-Stengel Donald N. Stengel ? 2002 The Wadsworth Group Chapter 15 - Learning Objectives Determine the least squares regression equation, and make point and interval estimates for the dependent variable. Determine and interpret the value of the: Coefficient of correlation. Coefficient of determination. Construct confidence intervals and carry out hypothesis tests involving the slope of the regression line. Chapter 15 - Key Terms Direct or inverse relationships Least squares regression model Standard error of the estimate, sy,x Point estimate using the regression model Confidence interval for the mean Prediction interval for an individual value Coefficient of correlation Coefficient of determination Chapter 15 - Key Concept Regression analysis generates a “best-fit” mathematical equation that can be used in predicting the values of the dependent variable as a function of the independent variable. Direct vs Inverse Relationships Direct relationship: As x increases, y increases. The graph of the model rises from left to right. The slope of the linear model is positive. Inverse relationship: As x increases, y decreases. The graph of the model falls from left to right. The slope of the linear model is negative. Simple Linear Regression Model Probabilistic Model: yi = b0 + b1xi + ei where yi = a value of the dependent variable, y xi = a value of the independent variable, x b0 = the y-intercept of the regression line b1 = the slope of the regression line ei = random error, the residual Deterministic Model: = b0 + b1xi where and is the predicted value of y in contrast to the actual value of y. Determining the Least Squares Regression Line Least Squares Regression Line: Slope y-intercept Simple Linear Regression: An Example Problem 15