Linear Regression Model - Representing mean of response variable as function using slope and intercept parameters. Can be used for predictions. I have earlier used moving average algorithm for forecasting.
- Simple Linear Regression - Explanatory variable is 1 (Dependent variable is 1)
- Multivariate Linear Regression - Number of Explanatory variables more than 1
- Data-entry errors
- Missing values
- Outliers
- Unusual (e.g. asymmetric) distributions
- Unexpected patterns
Basics Maths Again
Slope - lines rate of change in the vertical direction
y = mx + b
- y = dependent variable as y depends on x
- x = independent variable
- m , b = characteristics of line
- b = y intercept where line crosses y axis
Ref - Link
Slope = Rise / Run
= Change in y / Change in X
Equation y = x
1 = 1
2 = 2
Slope = y/x = 2/2 = 1
Slope = y2-y1 / x2-x1
Slope > 1 tilt upwards towards y axis
Slope < 1 tilt downwards towards x axis
Ref - Link
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