How to calculate regression equation by hand
A regression equation is a statistical tool used to determine the relationship between two variables. It helps to predict the value of a dependent variable based on the value of an independent variable. Calculating a regression equation by hand may seem intimidating, but it’s actually quite straightforward once you understand the steps involved. In this article, we will discuss how to calculate the linear regression equation by hand, using the least-squares method.
Step 1: Gather Your Data
To start, you’ll need a dataset that includes pairs of corresponding values for your independent (x) and dependent (y) variables. For example:
| x | y |
|:-:|:-:|
| 1 | 2 |
| 2 | 3 |
| 3 | 5 |
Step 2: Calculate the Mean of x and y Values
Next, find the mean for both your x and y values. To do this, add up all the x values and divide by the number of data points:
Mean_x = (1 + 2 + 3) / 3 = 2
Do the same for y values:
Mean_y = (2 + 3 + 5) / 3 = ~3.33
Step 3: Calculate the Slope of the Line (b₁)
Now that you have your mean values, calculate the slope of the line (b₁) using this formula:
b₁ = Σ[(xᵢ – Mean_x)(yᵢ – Mean_y)] / Σ(xᵢ – Mean_x)²
For our dataset, calculate b₁ as follows:
(1-2)(2-3.33) + (2-2)(3-3.33) + (3-2)(5-3.33)
——————————————-
(1-2)² + (2-2)² + (3-2)²
b₁ = -1.33 / 3 = -0.44
Step 4: Calculate the Y-Intercept (b₀)
Next, find the y-intercept (b₀) using this formula:
b₀ = Mean_y – b₁ * Mean_x
b₀ = 3.33 – (-0.44 * 2) = 4.22
Step 5: Write Your Regression Equation
Finally, write your regression equation by plugging b₀ and b₁ into this formula:
y = b₀ + b₁ * x
For our example, the regression equation is:
y = 4.22 – 0.44x
Conclusion:
Calculating a regression equation by hand may seem complex at first, but it’s an important skill to have in your statistical repertoire! Understanding how these calculations work can aid in interpreting results and making informed decisions based on your data. Practice makes perfect, so gather some real-world data and start calculating!