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Linear Regression Model

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Linear Regression Model

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ssp891965
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
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Linear Regression

Model
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College: Asansol Engineering College
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Introduction to Linear Regression
• Linear Regression is a statistical method used to model the
relationship between a dependent variable and one or more
independent variables.
Types of Linear Regression
• 1. Simple Linear Regression
• 2. Multiple Linear Regression
Simple Linear Regression
• Simple Linear Regression models the relationship between a single
independent variable (X) and a dependent variable (Y).
Multiple Linear Regression
• Multiple Linear Regression models the relationship between two or
more independent variables (X1, X2, ...) and a dependent variable (Y).
Assumptions of Linear Regression
• 1. Linearity
• 2. Independence
• 3. Homoscedasticity
• 4. Normality
The Linear Regression Equation
• The general form of the linear regression equation is: Y = ß0 + ß1X + e
Ordinary Least Squares (OLS)
Method
• OLS is a method for estimating the unknown parameters in a linear
regression model. It minimizes the sum of the squared differences
between observed and predicted values.
Interpretation of Coefficients
• The coefficients (ß1, ß2, etc.) represent the change in the dependent
variable for a one-unit change in the respective independent variable.
Goodness of Fit (R-squared)
• R-squared measures the proportion of the variance in the dependent
variable that is predictable from the independent variable(s).
Residuals Analysis
• Residuals are the differences between the observed and predicted
values. Analyzing residuals helps to validate the assumptions of the
linear regression model.
Overfitting and Underfitting
• Overfitting occurs when the model is too complex, capturing noise
instead of the actual relationship. Underfitting occurs when the model
is too simple to capture the underlying trend.
Regularization Techniques
• Regularization techniques like Ridge Regression and Lasso are used to
prevent overfitting by adding a penalty term to the regression
equation.
Polynomial Regression
• Polynomial Regression is a form of linear regression where the
relationship between the independent variable and the dependent
variable is modeled as an nth degree polynomial.
Practical Applications of Linear
Regression
• Linear Regression is widely used in various fields like economics,
finance, biology, and engineering to model relationships and predict
outcomes.
Case Study Example
• A case study demonstrating the use of linear regression in a real-
world scenario, including data analysis, model fitting, and
interpretation of results.
Challenges in Linear Regression
• Challenges include multicollinearity, heteroscedasticity, non-linearity,
and outliers, which can affect the accuracy and reliability of the
regression model.
Conclusion
• Linear Regression is a foundational technique in machine

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