Question 9. (Total: 9 points) The title of each of the following shows the sum o

Question

Question 9. (Total: 9 points) The title of each of the following shows the sum of squared residuals. For each of the following, say 1) is the association positive, negative, or zero, 2) which is the OLS regression line, and 3) how did you come to your answer in (2)? (a) (3 points) SSR 173.79 SSR 4509.16 SSR 227.18 SSR 1086.42 SSR 168.26 0.5 1,5 2.5 0.5 1.5 25 0.5 1.5 2.5 0.5 0.5 15 25 (b) (3 points) SSR 768.18 SSR 186.57 SSR 293.94 SSR 191.23 SSR 418 0.5 1.5 2.5 0.5 15 2.5 0.5 15 25 0.5 15 2.5 0.5 15

Explanation / Answer

Solution(a): OLS regression line is that corresponds to SSR=168.26 (since it is the minimum of all). Since the regression line is increasing in nature, relation is positive i.e. x increases y increases.

Solution(b): OLS regression line is that corresponds to SSR=186.57 (since it is the minimum of all). Since the regression line is decreasing in nature, relation is negative i.e. x increases y decreases.

Solution(c): OLS regression line is that corresponds to SSR=93.37 (since it is the minimum of all). Since the regression line is decreasing in nature, relation is negative i.e. x increases y decreases.

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