Sessions 6&7.ppt - MIM FEB2019 Quantitative Methods Sessions 6&7 Regression Analysis Lorenzo Angel D\u00edazPascual 2014 Linear regression introduction

Sessions 6&7.ppt - MIM FEB2019 Quantitative Methods...

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Angel Díaz 2014 Sessions 6&7: Regression Analysis Quantitative Methods MIM FEB2019 Lorenzo Pascual
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Angel Díaz 2014 Linear regression: introduction Lorenzo Pascual
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Angel Díaz 2014 Correlation and regression análisis We start analyzing the relationship between only two variables A dependent variable (Y) and an independent one (X) Under the assumption that the best representation of the perfect relationship is a straight (linear) regression line fitted to the observed data Correlation and regression analysis involves determining and measuring the linear relationship between two or more variables Regression deals with determining a mathematical expression to describe the relationship Correlation is to measure de degreee of this relationwhip The simple linear case Lorenzo Pascual
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Angel Díaz 2014 The simple linear case Lorenzo Pascual
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Angel Díaz 2014 The correlation between two random variables is a measure of the linear relationship between them. The correlation is a number between -1 and 1 . If the linear relatioship is positive means that Y increases when X does increase We have the opposite when the correlation between then is negative The simple linear case Lorenzo Pascual
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Angel Díaz 2014 Simulated examples with correlation coefficients of 0,95 (left) and 0,6 (right)
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