Presentation on theme: "Correlation & Regression – Non Linear Emphasis Section 3.3."— Presentation transcript:
Correlation & Regression – Non Linear Emphasis Section 3.3
Non Linear Regression Shapes…… Positive Quadratic Regression: Negative Quadratic Regression:
Non Linear Regression Shapes…… Positive Exponential Regression: Negative Exponential Regression:
Quadratic and Exponential on Calculator…… Quadratic: Exponential:
What should you look for to tell if it is not linear?...... Sometimes a high “r” value for linear regression is deceptive. You must look at the scatter plot AND you must look at the residual pattern it makes. Residuals – positive and negative deviations from the least squares line. Each residual is the difference between the observed y value and the corresponding predicted y value. If the residuals have a curved pattern then it is NOT linear.
Example……The scatter plot could possibly be linear. You must check the residual pattern. xy 516.3 109.7 158.1 204.2 451.9 253.4 601.3
Change y-list to resids after running a linear correlation regression – 2 nd stat resid: Notice the curved pattern in the residuals. It is either quadratic or exponential.