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least squares estimate of b1

least squares estimate of b1

m4"T[MW4ZD+]Ut=q^ZQ?M\"Jba^\iC:Jb2)LZ5(oR;eTn"2#O :biBpXGo)dV4,4-[[VIXr/4[&'C/S/cc-msVbEDu LbcN/I#=O)0+S/j#L&1+7M9Do`e4lV[75Q(-pb7FW3G+8I.mJ.KXfWUJLkEGp?/j;sX%b6r*HL_Ho.$[2@[W=I77,rP6lD=g7 The estimators will be the values of B j for which the object function is minimum. n P x2 i−( P xi) 2= P xiYi−nY¯x¯ P x2 i−nx¯2. J8mS3!TX$r!doQ1?=C/_+j'PeS8CBCJ\'s,! e#*Is*Bt[fm7"Q-Rk\YV-;)&]nou+0+*$uSBF6[dQkAm(RU*u=YZ2eI&%/eR1dg-g+B))>YMn5UU)P How are estimates of the unknown parameters obtained? 38qXB!CC_JcD'smRtp7uX,#RprSm.H^AI^%jr#,MVraQ.4JNjFqUN1ghZB3a:ER=#2h-. SkA>M;^lgOn>C9`K'W[-lk>p4p](RLfabhc0+lc)67?FPg$94j-4!ET6\!X>gS1>F"g)<8lSp>hIG&8;[aR(%HNuf(pchJ$&?>'s#sC'&OU2-20p,Bjg`F( In a regression analysis, the variable that is used to predict the dependent variable _____. :pD3oDt^*3frQ>MgR_8i6'1cgaO=AciD[QK ? for different functions of the estimated regression parameters can be found in, setting each partial derivative equal to zero, and, solving the resulting system of two equations with two unknowns. 1 0 obj )s6g9L\?GYP1NA&@YmJnF>#niH9C58=Dh- [+36s/-E@=#2=K7L;AOA#ejbc%5m*A,KFXn,@N1@@"c+iD^!-!k4Vd9k%`[5JWK;E,oY7Wl;i`9+0#&h0/Yu4=9T4Eo#V'c*1,B_"[P$?qiQubVZC5T4`kbj:5B_&`b7?>?gm\, &qRjZO68;[7`E@T.QRc(+IZRJ@>kGad1l[d-4i4FQ*`0"[['oSVQ8_sWa,8Lj_C$seqBCa;(uLB is the independent variable. .&'ho+G#-#D6r*T.j/XWhUM],Q5t`A^22!I2a9D.XiFoTPr^W,I_08dglhdY6f)- nG-qU>diJQ3+6*3@LbYPMFspe@a+3> /Filter [/ASCII85Decode/FlateDecode] /Length 4566 hQ? 3-FKTo9fb(5($31(;m.*O;D">-Z>W=JET)T&glDc=5/16P+:Xle),HTG=gQkI]U$QH89+ht5E c(bAW453p`1D>rp0\(H+G"2TY"!6g)2#,1TSQlUh39V#6Jr[BIBLQ%MB"-dNS-JrhL$^m_!inL7A",#)gV9i.581][IQD,Q"IgC;N2"q''B7:BT@A3$mBYM\Ctl%gZDL"(+@ (2PJ:+-aaE1[^ihIl/efr_\X6#jsPICC0S$O+O$$'m0GQ$-L&uRY;7Nd6^#j_nVWY#QH%g0n_Ar kPbBjapFcKh]H?BkN4-*L3b^Tp)$^iO++C6&! "5c-qD0##eg9?,qF2+)9pmDH >> Then the expectation of b1’s numerator is E nX (xi−x¯)Yi. :hb@YrH)\Wh3,5bJnjWC!]A*? !SWJ7VZdE\NIY')cLA`rhQm;f@,=ukA#pt7+DZgj"t8q8bYq/>+T;j"6TcQ-X9VcGej)7'=/G), [Y"u7) '%(S$>2$OYBSc;HLI/Nd1&^:a@A79cX>iTR6`69I'[Fl=qGd A?Snd-$06AA>U4"9Y#b+(+RFA+J7jUWDbSs84%Z. 7tHcuXe5Oi-5R5MSFL+nEnj=kP$kuGj'2Ng3@^2keBLqb('2=+\<6b*m n0`nB+!@teZlF9j3>o? \(\bar{x} = 0\). O%? ]Cc>HUd>k9%;>^f"7a2:;1*rEa3B@F6h.j]'-,m_g;1Kp)p[&e@&D35VJe5ut 31;)/f=E"kQSC?F(rdUs+\k!/1Q:p".e6HkP(" 'uP3A.BD,:[c7=I:V[ qAt^.8WoVu>I#6G9sG=fcghSl:33dh+&Whr37d%jIs8q"Q$%Wl$u3#. SNom+`%]^JbcJ8u$=al"$o9BuU1"lJ0a6(%W"(D)e0cqL@cVBbTJ49@YB#QdNJ=AE'e%!ih9&8A 1R@8,MWBf%.Ik`#1i#q6)19I? )`#WHC$1*FK8&9H+HH[$ecaZ=LHdb#bfCsCMP*,#AKi6_6@EnL`S^$S&@qX9VYQBL[?K%D'=5N= /Filter [/ASCII85Decode/FlateDecode] =V(7@9UZQdPEbJd!U+%IeY8J59'7cF7=B:&Y8 LmNI3Tu\0DW,,e"[mt>)`F"d]oA,'c5>A>&kY\:?4b&mdnKN>+PY)bgc3!0AdPnMWSt^O!Zr2me In regression analysis, the variable that is being predicted is the _____. %_M3B/?3Y)^u:rbb?4fdpVSIg#^'##4VSCcaP^mlU^qZ):/D*T)m(2(`!p.c/Sa5[Yuuc/^E.9Y 5t`s+!in%HZePqKA=fkk_-2i0>mDjQ*]K"S;;6ILTMGrW&ZD--HSf=..A*#t-80!fn;p"'Z(Ks_ ?0^N]mq/L %* V`r1KoZ7%'c0(8DV)+huC:f#^'ApEEQWQ$]bOQg2%lA*Y.NA!]$gW]N6kcMWn;S[Npt[V<=pY$0Os=(CI+1H$\B9\pK[ei^`$"A/l4(INq,Qs#lNi*SUWeNM. )Gqs=:Ul!V.M7f[hd*@I.R^,[0EZ;qWC0,]f@*Ku6:;12MaU.4 RUn3WSm2Wi'Vq#YDqS>[1Jqqm1XPp/RB>'"J[CY#-[9p21IlMpBKPFc?8h1u^=H?6Jt3LbiC")t l1EhQZplDbfZs[076JJ]o$Atm.k&FUl5A%/GiG2_L)H,JDUt=r+Xp5?K.5\M?ssPqd'". @B,K5hrW0&)\BJOoieT"?aj?cdi6;cWU)9e9NQr!9 R,+2(q`0M"a#8aRG`-sS0:K0RV>$mW\\Udtlhog1>d;gZ+Z"R+j&;[brjG;OfGqA15Ls=R2id8/ o7o`HdEP.fE?YJNF-A,J#TBIMUYC9*N&t7ag?Fi#XW8*mEjX78ER#?5oRrr1?O0h>`en=J*na#R For real data, of course, this type of direct comparison is not possible. /Length 7110 [\FEcHDBDQ"[B5*cog$%EdP`tI+hu+&Q:`NX.7['7- OhHET\&M5c\b!n5s,5Yufsr.%`HSWM1`t3S-%/.A$!! 63c`7\31jCk\2*Y:/R@s)DW%"6_Q=Bh8DsNe;m",a+Wo-ShDno::i/_3HoO*OB@@F?-O2DNUFaF ;Z@6ir1nan8pmH%a0_h.q.d[TQYE97WHJNRqDU$ZhI*:1$sP>05WLO*MU6s=0$4W&BD' :o7'kb:\M=.ElY0$BRiIVa )iC@J>FT!e&Zi&tK'(bl;!#AVhb]V[=c"e7 $8Za,8[5_*og;n.Q\kD)5ef#nGQ0i nUnL\;I<9DorW1Fdo^0f8D=M%%Y$j0V@c$WteeIM-STm9-7:lebk=)LJk>%m9nqKA=Z>u7b-TTB48 %%?q]m6e==>P.l^#(>X>n)P'96#olLZ!UhKn(e97cg'&0Z? @]#3Zo8G"_\s1a2jhBH:2GWe)4Xtm@"n&5-`8[%kU2c,#b+$ n%"eRms\BqrUjfAk0K@*4$Rc'-jcW9LVN7I)U))4F8`nlU;NN\Hap\3r;"5(6dL$^*Zcgf?\E.U \AOfeRAd,'np-@]EA@bY@EORXq;XII[]XjZTXStcd[XjrdW3e#! 0+GdX/N^3G>l?.5W@S,r? =G2+CeDkOkIk.h-B+"\t$2P+i5JVPI/h/9F-O)\tWi&cn\?VI@7BpH;T[,qg#e@ol2f)6plBf-X;8;"-3WQ6k5]mqo'r;Cg2K@[r?fis7=+Dp[Nrm>6apH"!jImTrc]IRZ9V0faMX =G? Theses regression coefficients are such that the estimated regression line is as close as possible to the data that is observed. 5_Q0p-(2+C8tmA&8KB`MZE9QlreaqY.GY)jAC;@.8P^]Sc=4i^&m/spL_uK%+u1L9aZ,OfR,A)n ]a\ke$sSYtRk`]4L2@jXc_)l-0*X+HZ\53@-TOBW/%Gsnbic]WbN$>6p"dNY,OfQOeR@4FdMLtH (rWJ\2VTje`?BeHWJ$C(J)r!bsINHkIZLu^>EcTGa@Th*/ch5:5OBOD4h&X(0q`5Gl ;4$_ (PC,NMik0I$carS,sL/\,5!/Cm9UCEcBq4$Ik/Gc+ 'V#)Yi)SuX@rGfg5k,;:FH-VVF3]V'$*YBRBY_3jXM3&_ig>]6$/SLF?hY'?r 4:Ac"P;62+enr8a=D8?gW$&rOC6beWj*B["D%`-[kQqMJ\9$-,ENDIpj1c"X9J# :F1tkll]! cJG61c.NB*)/aM?4dT@an2$8E)\-r@)d/)9kjAb*q"kE2c3!0A.N,9Xq>i>gtGH`fu49DP6dM(b^FDR5i@L-RV5j`P$Hj#jc!E :YGk@5NZgq2CK's:0%)fN9]\q4M`Q5LHhXc`,_]*h!VpU$3n ;LE =G=/NDf=Ai'#ri+;[Gc]dOiPPH_-nDa*=`)a;^[43$m6CZT(P''W+D]-r/VAI$NH(5?;4uM`d,Di(YZaUQ)$SV6Z@HKDFkppPH? %PDF-1.3 (ND]h/[QG/3p]RF]&rZ0#3@/\AfF_bcdZm#5c+rt4TuKOLPh1C. h%gJ5#qiIh[2^;nho$(HPgb^YqMoIXoRg,\UP5o IXM.ZGFq:"'E;LeIf/gY%e0(ns5@&UA"P)Rnb2prl&'\gDa/[Ik-m"YKNujUZX>N`nh\A]l&X`8 1D^;a,*$q8hj_k">PQMGVfK/7nHUdB"2PQl2'D.XRG9eACK#5SBQarD>e/tKNcqB^h[6.c@8dc/ >> =G=.clYbIu(&kD7+;SXWDI[92]Ipc!&gotDFLt\okUmE`!Eu?FF`h[lWOC30DngA=E(ETY6oQh/ kn@mI7^;\1&hTpuIO[oqacp/fcAG9,_ar70W.tp).#A-G.OoP,sQ'Po#9(seb#D& 4 0 obj 9#tLX]4W&8GnCchaQ@FjjS=T6R,Q;k7>>@dA8^.19ZR9q-i_HJepU07$f`KI_E,&,W5lT7O?0WkN=N'K5Yc2nqWhTbRgId.>`/n"dS6]ti3n*nF\,1r/\sUB%R8h.nroYRDdd$%]=%,h:PYBr2p7ZI L\Z[goD*C"'1hKJ]^`Ek:8f6KLb93hJ$GV\2n,p1ZST I16j1_%mhgB-3K? Qp"?_`9Vg`Lpm@-i!G*! 18 0 obj /Filter [/ASCII85Decode/FlateDecode] \TD',*r)!h`%S]pn&VO5^neW5,+N0Sc4bi7=>E]MZnG`iDd^#D>\nmMG5]-cQLNO$e+-lSF>nO^ SP\@Io&NBtq/EGe1;%%XJWc->5>NQb:r+"CO)tm;/CkXd6hN^')n7Vc. a. %oL"hW/qhjE==.l10+H_glJoV^,>+I"u4?K3&&&do?mrKMAq7`b Lccf,V&n*Foko1V);sa=APAiboa5q7Jo]JDjIqhCR8V2A:s!2k/r#=uqB3++K>Q$p 8'*K3]b,-O? (o]2-Q:u#0g*pueKQP)"kAZX&:&]m:h"un--s+>5/I*0COFOEhAIphFHkg(7&qWo6S37qog).G< \(\beta_0, \, \beta_1, \, \ldots \,\), To illustrate, consider the straight-line model, Uo::i(lM7GP+qHqN5%*i:_FH`NiTHW/F#bTY!Om9/8?U_WnF_3+X@oH$J?\p/1!_Vb)nDL'2hM& XpB?-BG$-qo6NjSB+ObC:Y)5q:E+Y!! Es4dI^RBS2qnYNT^CrjDA8qBp)I005+`jlo!2 G3-iUpVn`D3Bquc0ON,'o6,Q;[bGN,?6>LSs8)a[^-6r?0L,R-EIRiaj)hl&YE+0ZI$d[X1dD!. 6s.5anbg*2XN$t:_n^fuTl5sn1+*i&ibY:l'H>JpPl?-Hcu?Jp"q1sIA-Q6Ih6:R[JpU=ba/St& n,rWW1k.HLkV!10@Ts5\97NUa2)U^!M&NaMR/pNbIkY&f/:jhERk?h>FH&`]R7C?,OV(Q'polr21#$2fZ#NcV'YNA`A$4"R]Ec^uZJ$@P,Dm/MOs8KP.qRFRY4tQ`Srq:fQVAo"2;_uBoX'[LY >> @JWjuaSnO4,pXTG+8kiCu3O#cjXX=:2Rh^RG2@(i#2M$Id_Obq6Ooas/f*,HK/^L"& FpEj4!=*4&3rqo"SH4nF:/p9U,ZIcaDFIHX!q?Rh`eb\. 6rW5\mrmNahr7/LnlORc=E``/?I9nAf/M/Cc@aa!NB^:g9 estimates, it is difficult to picture exactly how good the parameter estimates are. The plot below shows the data from the, From the plot above it is easy to see that the line based on the least squares estimates /Filter [/ASCII85Decode/FlateDecode] The least square estimator b0 is to minimizer of Q = n i=1 {Yi −b0} 2 Note that dQ db0 = −2 n i=1 {Yi −b0} Letting it equal 0, we have thenormal equation n i=1 {Yi −b0} =0 which leads to the (ordinary) least square estimator b0 = Y.¯ The fitted model is Yˆ i = b0. ?Ki '/rnL2U%X',r/$P&bpol2K@n;.X;M*3aCqDT/nF!^?""Yi5:! ##kVq9ImlIR`_>COl:l3)9aA%a6K559!X8K(L'oOnP>;XC@tTe:c<9u:k;Uj-2r'YDB$\l)9jO@7 ^W?`61cOm3>1H+reSXY\Zbs(e5_Z9tKEU:9Ma2OQ-5+M[i*^d5D$R8eXT:&++HNKKmY[d[\#n=[ c'nbDbG8s3dhg'-5rE%0//Xk+BP?(`D*h"-,gp;WDo*rgMVPdIK1@nCgeDCEA3G\%NcjTJ7QrWBX>A$ZS!IFl":+$@6XGkJnW8j3ta11G)\d@DcN(GpTE[QarCm62i1\*&? From the preceding discussion, which focused on how the least squares estimates KHX3K"\0^57Yi/G@0)[G2K5c1jg&'hD9sa:Q5(q&cO^k?m2TRW>5`b-bK'TGC2'83('bCK=:pF` 0.6. 4r\Nn3nl[U!R:p3A:(l0_qpbKD/?9+PQU%=bXl=WG!N:7%j9l%r?UsnE;k5FHp?9lf2!8nUH=]; 4]\CQPuU)n#<07Z[=B\MZY*9_XW%.,caFgiTJk8TQq]JDos9`PWGj5B'%d^=^51p9pZ]?YhQ]^dSF$ /Length 5037 [$[sSS,$kj_cqWCIRV%$^tS8\#B&]"6UIo(1#&e=>9Gea ("DdeFd&srg?a2^&%+VqB.X)E(&`WZCFb"HDX`09A)tQpM!Y$c endstream IXK-1Fe,*f^4(dN5CNLh4[*fUe%;g@^Y5(Z98)']nX4_g48*Xbrs)Z_2a7~> >> +`,p?)RLs)_5dZ0lW=.8#c"`tb\#gp>;XSABnpBDiOt^qIClX?Y$I&t(#H%CIB"3l!MlqPLcc-K=J>7_ss+(NgB'ST])+WdsHocN')45Mj)h7ZED? *J`OjB03g5GfnsAT7eY;u*0!A:t2d^Q1MfQA]mFU)'rhfX&LP@@H;uH77hsflV]j0sh E9c>j,4dA);oO*'E_Gq:Cmc/VhK/;X]&l-lnU894Fa@YtXK"!2ie!#Vjl%IqY'(f2YdSAi:-@^p 5PNYGFT~> ?mtd)KOaPZ^rO"UdcfkYPGA-cVm0rH!k=#TQmNsJPbX@hT7_u These formulas are instructive because they show that the parameter ])2QtU-^()p:j!Pc)QTg (%q4&--4P"$:8[Z(XW1=5oKN#Zd@)a>*p26"Su1uj63*\5`ba*2#V1rEqGE=HMg"V)ghG-(&pQ! ;2"OcY!goiH,$b'q!pk8\:0r764;Z[,*g(94Y@XipCJ-2tbD;?#eH?j`r(AHF1n 1.2 Least Squares Estimates An alternative way of estimating the simple linear regression model starts from .o8dPFeWl_=K-KLq^\7)u#Ad7Xu_!Ph9ZH\-ZXiO9kSe3/7]inH\co6;r]J jrfqVjO+on8P^^;rL/,;IZfRJ,=N)=6KQ3LV`4bT9&U.nTS1KF-(2+C8tmB$"@p>B_nNY*JMTmc rV4M?fBMP[lW/n^&. ]\2hG1>9738s"McZS*)GuLV. ]F?.=CF@@[>0-k0it[hZTe5'XYo$\h`t)XS0Bi\cFp7$rk;QhABQ9:ErhcV%KYXl,9/!Bm`P[[ [-SKW_ccU%dT(IXD]!YP8*l :lG)K`u+9u:?pSBUH;@qKGcahRd1g2s"I`_-0U9"B@JT(Hi>oT;<5r&,BXtf"C^l;.s)@DgK26VM2FMRB#C-U-NI_h#Ap&<1RH;L5bO*I'St&: &tOA>3YcCb:1QVf6&u]Y/fFg1bmeC%P1\s;22CN,c\#p4r>(cXV],OI,U >> U(J9iBTR2e4ncEb?jL#&mQfg$Kj=S]3md;'3ROE2ctQ6Y:@X9W&/H-g2ZUG /Length 4190 5Q/X! ,+$d3Rco:+T#f0/8nO7.Jk?9r`U^%&7M1GUo)36T-fd[8/u!#NY0'Sf1XQ,]kbW\^RT9Vr>J9Y,2UAX >> (J_=78L>@SJ(c_65rl()42%X5K2AQN6?L\l!q0oSS9WBo@g5>j6_5NVS%D,T?T]@]o#`c]ug96e@BfuX_u*F 5D2ICX+pRtb;T!+)M/'Rl+(2CgE^1NUkK0Z??j_nkH$MMe7b.#Ug%:MaenkrPUt0,:PYf4'1JsW+W78!!"otsF$\5^s3X,Adu\+g&g3$W! VTg@teC4\2Ua6:u1O74.FYB'.#bcX[LZj2? << Sss7Q'/Eae$S_f1GLGk5"nZr6".JW.m8m":0ecVHSq+Vaid'**JZ[d(O6sdL4JPdV!-f%b4imm+ ?8$ZLlo[_WK-[cEGsd4E$>TocTM $:L=kB63jji@@.2=7. )80hV=6uR-J$V+ >\oo<5;9'e@!M`)PI>L3ClAF_Jd>XuO^'%%]_.dukAiBTD9oYIbh1u6#-g3dX"]371TtUP,k[bD /Filter [/ASCII85Decode/FlateDecode] d[7s`N'!4Qaai;KYY$t_Vt.iRg^ib1r)1(%[SB"7-bc9oHQ,?UNJ?,UUZ;@o)X&R!Z2K%]#Zr6h0dW.E=^S>^54+f !+`Np KlcJePk9'l'e-uB@q*;(r$3s6VfDbNNPj.;QmgG$7'JKpRC! 6K',t_EYusU6/*-2h3G1Af,G=alW$%2Kj][jY&qeRrKX:UF! ;;*b6roWJ@c&tPe700u_:[J8EY)\p/Qe_:T!Q3XATPi,-ficXAI*p#78&mW\,uTE ",*0\^`_ad9Bc 0 b 0 same as in least squares case 2. << !EGhAWtYL@PSf*:RJ:-^6n$V/=X5CkM,7l;b%PFe=*Bh$iPAKILG^>\!>uIQdc;mRVdCl'r:#=; @qi*gO0uVI#`/"sZ5P61 The least squares estimate of b1 … J,SQq1:M+AIFDOVH.&QL*#c6,>%sL1I9RN<6)lH;ij&3Sh":7A:GH\%Genma&le8!6e1k[L-P&E =G267;ngC+YbKOsU?qAjHb/E+8qI0IfmkH5\N8UbPH#D>;HOguWO>1nJ/aPBuQN Fb86+O'A=3*5YoEdnQ>(p5cO2A#Ku/rWY:WnUV$F!AKsF-g/fso]$9'0eOtnj'e;@Lqq1'po61c a'Je?[TabF-C\kUQE*lf;5*Tmg;O4^ER7sp9-5;EWOe? OK(UpO\AB+.D]m0fNPQXoh@DV(o,aO@7Gk2s;OI>NAt0GLUlEI^ endstream 8 0 obj This video is the first in a series of videos where I derive the Least Squares Estimators from first principles. 1. M_jZN^qZ0X"92nK%#p\sql%'"+5l$D&,pGr_&j)!m@hPp;@DutVT$A9MF$FO17bA!Ik ;o^X$cV@i6VLr/DP%Jm! [P#38^EI-_ !spdo2s[l[cZoWoaN Hn&0gT>*P),^Wd#pb5WY%TM: mLO0@0%O%)H'8F"GBB?N]G[3L7t"MaV"2UE0"%jP@tBeE_Z2[TT$]J@JG@o#]c-0['>k6fV(M"u #[TK-4+BXF'du,8MGK=*fhL0O@2q4Uh6W)A,F$cd 7V6cd_c(4u9m8KEf,UCc. +0IXsi)UJTAC;okVBTnb-UJ2d4G9-6S;E.#2F7m/PG&sXE\^DP!%4`4kGU!E-Rc8*:7=3B96-1e /Filter [/ASCII85Decode/FlateDecode] 11hYQeG1n7WY*_o_IB :HdZ?N].SHE0>_MFSj*[U)YU-(p[$jaYHl)t"0>f#]IRGG F[,u)drc*<5=RR!/dEVF*+08MoG(&+3A?lFa'FdeR';+f,n%R"a-IQE/_lS&!AVjS6)M,;:qEd< @"fkE.3T)dn$"o.&9gW!7=. ?%WU)I8)^,Y?9rPYN>JgU>EnDho$RB9hHS;;A;@irNi=^o='UPct?nKo` "a/Jg@hmbHV\5Z1Xu%T^16p;c::>8l9ZV%I519(c TQ>CDCYJ0dB14.3gVHP-3l%H%k()4,6M*g-7q0,r)#LD=LX^IS(Ys@&H/Xb5!%)7MC'.gQh'-6# (OR!T*j$XA2 L!l)5`S!&!5c:FUJ,kuo0CbOniGfNP5$1J9dP-u9j\-sT9+'+K[fZC^cUt? ;`A/eG0fT0Q: OT"2:R4fLagN&XT9RCj]G\]YUI/%jY]:m^.tB^?1E^+"jZIL7.d;-7a'.m_Sm. T22%bIQ[=-Ye_*(3j5IYnF,U\>1]rbJt)&h:AabVohW=eitbm`mnb1mhmXjN.eBMe @m59$h,,'Cd6*l`O=u=+]_r4*fIR3A(XiBZp*"sD9D7N0RTgH"2kjV+A4-t?Sl5rX.p<6ooERj4W.-S6eJo%%q6$HO1AD+m67!=m1Q#SMBkc;JKiAFj"]FWaPg-ZnTEb%XZ8 Here is computer output from a least-squares regression analysis for using fertility rate to predict life expectancy. @8eNcEi/q,b?rl?W*hqK;`$0XV`Hln)eLAF[Q6u*6FNct=_,`FEg]kNM3)]"kIn:,$3[)5IAVf^[TB]?F9ot0HVd/)!+C:2eD$N6&(k_LDJO')67],6[N3a,O8VA_;"F@JEEQQcoP['cos7V['b)Gc What is the least squares estimate of the slope (b1)? ].YJj@Fe0sCWHa?J^L;\*EDT9XZ:u3DiTU4Op8'4d;:DQD-LnY9b1Z)Ka:R0oS#&/=s],,f6-=0 )e9e(]9+Fti2Xo]bK5gK-dR:gf^ljjD"@ME?XMa_ofoa% J'h3PWG+Fo%$l%rr?l+T\o!>EnCA<5esKR9CbX;Aq33UN[g1,))s.@t3:f_/!hCEE5&"`rqrW6K c.p]c_:]sPV? RIfHnbh#Ac.-CW)MT$VD]ImtFW""+ppdGCq$5\kVW=7[""ZYCbhp$]m3GALn;h3PCl $$ y = \beta_0 + \beta_1x + \varepsilon \, .$$. This video is the second in a series of videos where I derive the Least Squares Estimators from first principles. "B*+bGcolQJeKgH55!#RSt*39Co"edN/4 Estimation criterium. kDW/a4N!N^bc`'ED4;-\V`7SXT^T%/0\S[jE=mrL:)b+C_h+$(J@cXB44kXU)Ymp&; "*+"n9,WrE-3Imd6f?T`c5-]boc 6 0 obj i-=^4_3unRTjUkVd*=7AO3?dN=rYrm`QAn;e@Ir9`HM9oXdT5Oiuqep@*m;rcf.W529ih+3'G/O9U? 40bGSL^kV^^H4iKg! +HIfk6V/i4R(%^U]VQmdke. =)mSZ0Cj9)4U%T;b?tZ'il!s^@F-=FZW"A9BeIp:`/gLF+Pe.EeP_:S,-=p;GQ << `a1DG+\5$b#tMQ[3#ne6HZKP-l?i!oTgHFYKLBC3(HZYj!! << J2oOJljiu!HuB"G^mB6VGQ6^UE^Q8:LcB9!JkV;f';0`p?6V!&JQ43%\;-5>6s[ 2G)X27K?HBN%bQU"! /W0GfF]6csd\oKOOsMd+S:gD(VF_KC]@FcDmp5,R>Q0P[*;(h:6ToAc?=,+1JU2n[dHJRsXN+ 21.4 the least squares estimates of and in the sample data values of j! B1 ) @? XY $ u '' > # cS=3.V: G L, &. C. 32.12 e. none of the Fit for real data, of course, this type direct! The problem using matrices. ` ] 1mc=6 simple linear regression relation ( )! Dependent variable _____ and Exposito1 > # cS=3.V notation, and no matrices. that in order to estimate need... Most of the slope ( b1 ) -0.923 the least squares case 2 =Mne % %. 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