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Statistics - Assignment Example

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However, there is a bend, starting high on the left, dropping down in the middle of the plot, and rising again on the right. Therefore, assumption that the errors have…
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Download file to see previous pages... (d) The residual for the New York Yankees indicate that there is high error in home attendance prediction for the Yankees. The observed home attendance for the New York Yankees is much higher than predicted value using linear regression model.
(a) There appears a non-linear relationship between Human Development Index (HDI) and the number of cell phone subscribers. The relationship between HDI and the number of cell phone subscribers appears to be logistic (similar to exponential) that is increases quickly at first, and than slows down, and than finally reaches at a saturation point. Therefore, fitting a linear model to these data might be misleading.
(b) The scatterplot of residuals versus predicted HDI will look like a bend (curved) graph. The errors (residuals) will be positive at start (left) and than drop down in the middle and drop down further (negative) on the right.
3) If that point were removed from the data, the correlation would become weaker (or no correlation). Removing this point there appear no relationship between x and y. This point is far from all other scattered points and thus tries to form a linear relationship and thus increases the ...Download file to see next pagesRead More
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