Regression

> The Problem of Regression

- the problem of predicting the average value of one variable in terms of the
known value of another variable.

> Curve Fitting

- a procedure that uses an observed data to arrive at a mathematical equation
that describes the relationship between two variables.

> 3 ways to solve problems of regression

- Decide - Find - Investigate

> Simple Linear Regression

- there is only one dependent variable and one independent variable.

> Dependent Variable

- the variable we’re trying to predict.
- represented by y

> Independent Variable

- the variable we use to predict the dependent variable.
- represented by x

> Simple Linear Regression Model

y=β0+β1x+ϵ Where: β0=y-intercept of regression

line; β1=slope of regression line;
ϵ=error term

-β0 & β1 are the population parameters

> Estimated Simple Linear Regression Model

ŷ=b0+b1x Where: ŷ=predicted value of y for a

given x; b0=estimated value of β0;
b1=estimated value of β1

> Situation

You are a high school student on GSCNHS, an STE student to be exact. You
are also an active officer in clubs such as Math Club, YES-O, and TSOCC.
Your exams are fast approaching and you want to repay the hard work of your
parents by achieving a good grade. However, as an active officer to 3 clubs,
you spend extra 2 hours at school. Due to more allotted time in school, less
time has been allotted for studying for the exam. The results are as follows:

Hours spent in Grade on exam

studying
2 69
9 98
5 82
5 77
3 71
7 84
1 55
8 94
6 84
2 64
 > Least Squares Method

minΣ(yi-ŷi)

> Slope

Σ(xi – x)(yi – y)
b1=
Σ(xi-x)2 dependent variable for ith
observation; yi = value for
dependent variable for ith
observation

Where: x =mean value of xi; y =mean

value of yi; xi = value of

xi yi xi-xi yi-yi (xi-xi) (xi-xi)2 yi yi-yi (yi-yi) (yi-yi)2

2
(yi-yi)

> y-intercept

b0 = y - b 1 x
2 69 -2.8 -8.8 24.64 7.84 64.53 4.47 19.99 77.44
9 98 4.2 20.2 84.84 17.64 97.71 0.29 0.09 408.04
5 82 0.2 4.2 0.84 0.04 78.75 3.25 10.58 17.64
5 77 0.2 -0.8 -0.16 0.04 78.75 -1.75 3.06 0.64
3 71 -1.8 -6.8 12.24 3.24 69.27 1.73 2.99 46.24
7 84 2.2 6.2 13.64 4.84 88.23 -4.23 17.88 38.44
1 55 -3.8 -22.8 86.64 14.44 59.79 -4.23 22.92 519.84
8 94 3.2 16.2 51.84 10.24 92.97 1.03 1.07 262.44
6 84 1.2 6.2 7.44 1.44 83.49 0.51 0.26 38.44
2 64 -2.8 -13.8 38.64 7.84 64.53 -0.53 0.28 190.44
Σx=i

Members:
Bantes, Jannah
Baluso, James Lian David
Lorania, Chorena Grace
Hamajo, Mika
Suarez, Alyanna Shin