- The term may sound very complex, but it is a rather simple concept.
- It models the relationship between two variables (predictor and response) using a straight line.
- One variable is the independent variable (predictor), the other is the dependent variable (response).
- The goal is to find the “best-fit” line among the data.
- Below is the general equation of any linear regression model:
\(y = \beta_0 + \beta_1 x + \varepsilon\)