Chapter 8 Regression and Correlation 325
The output is divided into six areas: regression statistics, analysis of vari-
ance (ANOVA), parameter estimates, residual output, probability output
(not shown in Figure 8-9), and plots. Let’s examine these areas more closely.
The Regression command doesn’t format the output for us, so we may want
to do that ourselves on the worksheet.
Interpreting Regression Statistics
regression and
residual plots
regression
statistics
analysis of
variance table
parameter
estimates
residuals and
predicted values
Figure 8-9
Output
from the
Regression
command
Figure 8-10
Regression
statistics
You’ve seen some of the regression statistics shown in Figure 8-10 before.
The R^2 value of 0.765 you’ve seen in the scatter plot. The multiple R value is
equal to the square root of the R^2 value. The multiple R is equal to the abso-
lute value of the correlation between the dependent variable and the predic-
tor variable. You’ll learn about correlation later in this chapter. The adjusted
R^2 is used when performing a regression with several predictor variables.
