Question

Suppose that we have the least squares regression line y = 3 + 2x and that the sum of the squares of the errors (sse) for this line is 13,712. what can be said about the sum of the squares of the errors (sse) for this data set and the line y = 3 + 2.5x?

Answer 1

The least squares regression is a statistical technique to fit your data points to a curve or line so that you can express the behavior of your data in an equation according to the curve or line. This can be achieved by minimizing the sum of the squares. Since the sse is still very large, 13,712, that means that the model used to fit the data is not valid. Through this statistical method, the model used could be deemed inconclusive.