## Linear Regression

*March 16, 2008 at 5:49 pm* *
5 comments *

Linear regression is used to model the value of a dependent scale variable based on its linear relationship to one or more predictors. It estimates the coefficients of the linear equation, involving one or more independent variables that best predict the value of the dependent variable. For example, you can try to predict a salesperson’s total yearly sales (the dependent variable) from independent variables such as age, education, and years of experience.

Implementation

- An automotive industry group keeps track of the sales for a variety of personal motor vehicles. In an effort to be able to identify over- and underperforming models, you want to establish a relationship between vehicle sales and vehicle characteristics. We can use linear regression to identify models that are not selling well.
- Is the number of games won by a basketball team in a season related to the average number of points the team scores per game? A scatter plot indicates that these variables are linearly related. The number of games won and the average number of points scored by the opponent are also linearly related. These variables have a negative relationship. As the number of games won increases, the average number of points scored by the opponent decreases. With linear regression, you can model the relationship of these variables. A good model can be used to predict how many games teams will win.
- The Nambe Mills company has a line of metal tableware products that require a polishing step in the manufacturing process. To help plan the production schedule, the polishing times for 59 products were recorded, along with the product type and the relative sizes of these products, measured in terms of their diameters. We can use linear regression to determine whether the polishing time can be predicted by product size.

Entry filed under: quantitative approarches, Resources, statistics. Tags: .

1.Tommy Leonard Daeli | February 15, 2009 at 7:48 pmbagaimana ? membuat data untuk di export (exel) ke autocad sehingga dapat membentuk suatu kontur pada program exel. atau pun mengexport data ke program SAP

2.Slank | March 28, 2009 at 9:20 pmTerimakasih

3.aurino | March 29, 2009 at 4:27 pmYou are welcome

4.Dyna | August 19, 2011 at 6:09 pmMantap bro…makasih ya