Further assumptions about the quality of fit of the model NLR(ind)352 to the underlying data sample can be drawn from the distribution of the residuals (difference between observed and estimated value) presented in the residual plots in Figure 4.28. The standardised residuals of the model appear to be uncorrelated to the estimated values and are distributed normally as illustrated by the scatter plot and histogram of the residuals, respectively. The homoscedastic variance of the residuals indicates therefore a correctly specified model and an unbiased estimation of the response variable with no missing terms, extreme outliers, or influential points (cf. Fahrmeir et al., 2013).

Figure 4.28. Residuals for non-linear regression model NLR(ind) ...

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