Statistical Modeling Purpose, Types & Examples

Linear regression is a statistical technique used to describe the relationship between a dependent variable and one or more independent variables. It works by finding the straight line that best fits the data, represented by an equation with a slope (or multiple slopes) and an intercept. To fit this line, the algorithm estimates the model parameters in a way that minimizes the gap between the actual data points and the model’s predictions. These gaps are called residuals, which represent the dif