Concepts and Definitions

Denise Faye S. Janer

III - Palladium

A way of describing how one variable
(outcome) is numerically related to predictor
variables.
The dependent variable is also known as Y,
dependent (response) and is plotted on the
vertical axis (ordinate) of a graph.
The predictor variables are also known as X,
independent, prognostic or explanatory
variables. It is plotted in the horizontal axis
(abscissa) of a graph.
Looking at a plot of the data is an essential
first step. The graph above suggests that
lower birth weight babies grow faster from 70
to 100 than higher birth weight babies.

Linear regression can be used to fit a straight
line to these data
b is the gradient, slope or regression
coefficient
a is the intercept of the line at Y axis or
regression constant
Y is a value for the outcome
X is a value for the predictor


The fitted equation describes the best linear
relationship between the population values
of X and Y that can be found using this
method
The method used to fit the regression
equation is called least squares. This
minimizes the sum of the squares of the
errors associated with each Y point by
differentiation.
This error is the difference between the
observed Y point and the Y point predicted by
the regression equation. In linear regression
this error is also the error term of the Y
distribution, the residual error.

Residual Error or Fitting Error
Difference between the sample and the estimated
function value.
An observable estimate of the unobservable
statistical error.
Standardized using the t-test

The difference between the height of each man
in the sample and the unobservable population
mean is a statistical error.
The difference between the height of each man
in the sample and the observable sample mean is
a residual.




Y is linearly related to all X
All error terms are independent
Deviations from the regression line (residuals)
follow a normal distribution
Deviations from the regression line (residuals)
have uniform variance

Most common and most useful statistics.

Refers to the interdependence or co-
relationship of variables.

Reflects the closeness of the linear
relationship between X and Y.

A single number that describes the degree of
relationship between two variables.

Since correlation reflects the closeness of the
linear relationship between X and Y, Pearson
made the product moment correlation
coefficient, Rho.

Rho is a measure of this linear
relationship. It is referred to as R when it is
estimated from a sample of data.
R lies between -1 and 1

R = 0 means no linear correlation

R = 1 is perfect positive (slope up from
bottom left to top right) linear correlation

R = -1 is perfect negative (slope down from
top left to bottom right) linear correlation

1. What is correlation?
2. R is perfect negative when ____________.
3. It is the most common and useful statistics.
4. Unobservable population: sample statistics as
___________: residual error
5. The method used to fit the regression
equation.
6. Another term for residual error.
7 -8. Give 2 descriptions of the deviation from
the regression line or residual.
9. What is regression?
10. What is a in the equation, Y = a + bx?

1. Refers to the interdependence or co-relationship of
variables; A single number that describes the degree of
relationship between two variables.
2. When R = -1
3. Correlation
4. Observable Sample
5. Least squares
6. Fitting Error
7. Follow normal distribution
8. Uniform variance
9. A way of describing how one variable is numerically
related to predictor variables.
10.Regression constant; Y-intercept

End of Report.