Path: blob/master/ML Regression Analysis/Undersatnding Multiple Linear Regression.ipynb
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Definition
Linear regression is a statistical approach for modelling relationship between a dependent variable with a given set of independent variables.
Simple Linear Regression
Simple linear regression is an approach for predicting a response using a single feature.
WHY Linear Regression?
To find the parameters so that the model best fits the data.
Forecasting an effect
Determing a Trend
How do we determine the best fit line?
The line for which the the error between the predicted values and the observed values is minimum is called the best fit line or the regression line. These errors are also called as residuals.
The residuals can be visualized by the vertical lines from the observed data value to the regression line.
Insights
Model explains approx 86% of the variance of the dependent variable
A strong relation between independent and dependent varaible