Question 721:

Asked on May 5, 2009

Tags: Regression Analysis

1

Answer:

No answer provided yet.

Regression analysis is a technique which describes the relationship between one dependent variable (Y) and one or many independent variables (x’s).  Its most common form, linear regression, finds a best fitting line, which reduces the sum of squared errors. Like correlation regression's purpose is used to understand how changes in one or many independent variables affect the dependent variable.  It can also be used to predict values in the dependent variable from specified values in the independent variables.

We could use regression analysis to understand how years of job experience and gender causes changes in salaries.