Year 1960 1973 1986 1995 2003 2002 2013 2015 2009 0.15 1.00 2.25 1.25 2.00 0.35 1.75 2.30 2.75 Pizza Cost Subway Fare 0.15 0.35 1.35 1.00 2.25 2.50 2.75 1.50 2.00 214.5 197.8 CPI 48.3 30.2 112.3 162.2 191.9 233.0 237.2
Correlation
Correlation defines a relationship between two independent variables. It tells the degree to which variables move in relation to each other. When two sets of data are related to each other, there is a correlation between them.
Linear Correlation
A correlation is used to determine the relationships between numerical and categorical variables. In other words, it is an indicator of how things are connected to one another. The correlation analysis is the study of how variables are related.
Regression Analysis
Regression analysis is a statistical method in which it estimates the relationship between a dependent variable and one or more independent variable. In simple terms dependent variable is called as outcome variable and independent variable is called as predictors. Regression analysis is one of the methods to find the trends in data. The independent variable used in Regression analysis is named Predictor variable. It offers data of an associated dependent variable regarding a particular outcome.
Regression and Predictions. Exercises 13–28 use the same data sets as Exercises 13–28 in Section 10-1. In each case, find the regression equation, letting the first variable be the predictor (x) variable. Find the indicated predicted value by following the prediction procedure summarized in Figure 10-5 on page 493.
CPI and the Subway Use the CPI/subway fare data from the preceding exercise and find the best predicted subway fare for a time when the CPI reaches 500. What is wrong with this prediction?
Trending now
This is a popular solution!
Step by step
Solved in 2 steps with 2 images
