Linear regression is a statistical method that is used to model the relationship between two variables. The line created by this method can be called the “line of best fit,” and it represents the equation that best describes how the two variables relate to each other, whether that be a positive correlation, negative correlation, or no correlation at all. Here is an example of a linear regression plot.
model: \(\text{Y} = \beta_0 + \beta_1\cdot \text{X} + \varepsilon; \hspace{1cm} \varepsilon \sim \mathcal{N} (0; \sigma^2)\)
fitted: \(\text{Y} = \hat{\beta}_0 + \hat{\beta}_1 \cdot \text{X}\) \(\hat{\beta}_0 = b_0 - \text{estimate of }\beta_0\) \(\hat{\beta}_1 =b_1 - \text{estimate of }\beta_1\)