Questions tagged [regression]

Regression is a statistical measurement used in finance, investing and other disciplines that attempts to determine the strength of the relationship between one dependent variable (usually denoted by $~Y~$) and a series of other changing variables (known as independent variables).

Types of Regression –

• Linear regression
• Logistic regression
• Polynomial regression
• Stepwise regression
• Stepwise regression
• Ridge regression
• Lasso regression
• ElasticNet regression

The two basic types of regression are linear regression and multiple linear regression.

The general form of each type of regression is:

• Linear regression: $~Y = a + b~X + u~$
• Multiple regression: $~Y = a + b_1~X_1 + b_2~X_2 + b_3~X_3 + ... + b_t~X_t + u~$

Where:

• $Y =~$ the variable that you are trying to predict (dependent variable).
• $X =~$ the variable that you are using to predict Y (independent variable).
• $a =~$ the intercept.
• $b =~$ the slope.
• $u =~$ the regression residual.

There are multiple benefits of using regression analysis. They are as follows:

$1.~$ It indicates the significant relationships between dependent variable and independent variable.

$2.~$ It indicates the strength of impact of multiple independent variables on a dependent variable.

Reference:

https://en.wikipedia.org/wiki/Regression_analysis

This tag often goes along with the statistics tag.