Statistics for Business: Decision Making and Analysis, 3rd Edition

Chapter Summary

The multiple regression model (MRM) extends the simple regression model by incorporating other explanatory variables in its equation. A scatterplot matrix graphs the response versus the explanatory variables and includes plots of the association among the explanatory variables. The statistics R² and ${\overline{R}}^2$ measure the proportion of variation explained by the fitted model. Partial slope in the equation of an MRM adjust for the other explanatory variables in the model and typically differ from marginal slopes in simple regressions. Correlation among the explanatory variables causes the differences.

A path diagram is a useful drawing of the association that distinguishes the direct and indirect effects of explanatory variables. A calibration ...