Class4_MRM_1 - SRM:Review Multiple Regression Model:MRM Class 4 Multiple Regression Model Reference Stine and Foster Chapter 23 Reference Stine and

Class4_MRM_1 - SRM:Review Multiple Regression Model:MRM...

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SRM:Review Multiple Regression Model:MRM Class 4: Multiple Regression Model Reference: Stine and Foster; Chapter 23 October 24, 2016 Reference: Stine and Foster; Chapter 23 Class 4: Multiple Regression Model
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SRM:Review Multiple Regression Model:MRM Outline 1 SRM:Review 2 Multiple Regression Model:MRM The Multiple Regression Model Interpreting MRM Understanding MLR Checking Conditions Inference in Multiple Regression Steps in Fitting a MRM Reference: Stine and Foster; Chapter 23 Class 4: Multiple Regression Model
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SRM:Review Multiple Regression Model:MRM Review: Simple Regression Model Simple Regression Model Assumptions of the Simple Regression Model(SRM) Checking Assumptions of SRM Inference in Regression Prediction Intervals Regression Diagnostics Changing variation Leveraged Outliers Dependent errors and Time series. Reference: Stine and Foster; Chapter 23 Class 4: Multiple Regression Model
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SRM:Review Multiple Regression Model:MRM Regression Model] E ( Y i | X i ) = β 0 + β 1 X i Independent observations (independent errors) Constant variance observations (equal error variance) Normally distributed around the regression line, written as an assumption about the unobserved errors: epsilon i simN ( 0 , σ 2 ) Three unknown parameters identify the model: slope, intercept and SD of the errors Reference: Stine and Foster; Chapter 23 Class 4: Multiple Regression Model
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SRM:Review Multiple Regression Model:MRM Checking Assumptions Linearity -Scatterplots(data/residuals) Independence ?Plot residuals sequentially, highlighting trend Constant variance -Plot residuals on predictor values Normality -Quantile plot of residuals (outliers, skewness) Reference: Stine and Foster; Chapter 23 Class 4: Multiple Regression Model
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SRM:Review Multiple Regression Model:MRM Confidence Intervals vz. Prediction Intervals To what degree does advertising affect sales? Interpreting when slope holds zero Fitted slope ± 2 SE(fitted slope) What can I conclude about next month?s sales? (an individual value) Predicted value ± 2 RMSE (a.k.a. prediction interval) Reference: Stine and Foster; Chapter 23 Class 4: Multiple Regression Model
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SRM:Review Multiple Regression Model:MRM The Multiple Regression Model Interpreting MRM Understanding MLR Checking Conditions Inference in Multiple Regression Steps in Fitting a MRM Outline 1 SRM:Review 2 Multiple Regression Model:MRM The Multiple Regression Model Interpreting MRM Understanding MLR Checking Conditions Inference in Multiple Regression Steps in Fitting a MRM Reference: Stine and Foster; Chapter 23 Class 4: Multiple Regression Model
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SRM:Review Multiple Regression Model:MRM The Multiple Regression Model Interpreting MRM Understanding MLR Checking Conditions Inference in Multiple Regression Steps in Fitting a MRM Introduction Use multiple regression to describe the relationship between several explanatory variables and the response.
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