Test Index

Correlation and Regression

Question : 37 of 156

Marks: +1, -0

x

is derived by

Solution:

Concept:

The regression line of

y

x

minimises the sum of squared vertical deviations of data points from the line.

Explanation:

In regression of

y

x

, we predict

y

from

x

and minimise the errors in the

y

-direction (vertical distances).

This is because the dependent variable

y

is assumed to have random error, while

x

is fixed.

Minimising horizontal distances corresponds to regression of

x

y

Answer:

Option A is correct.

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