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Regression Analysis
A statistical method for investigating the relationship between an independent variable and a dependent variable.
Simple Linear Regression
Regression analysis with one independent variable.
Multiple Linear Regression
Regression analysis with more than one independent variable.
Error Term
Represents all variables affecting the dependent variable that are not included as explanatory variables.
Coefficient of Determination (R^2)
A measure of how much of the variation in the regression model is explained by the independent variables.
Hypothesis Testing
Evaluating assumptions about the population parameters using sample data.
Dummy Variables
Variables created to include categorical data into a regression model.
Homoscedasticity
The assumption that the variance of the error term is constant over all observations.
Multicollinearity
Occurs when two or more explanatory variables are highly correlated, making it difficult to isolate their effects.
Log Transformation
A method for making non-linear relationships more linear by applying logarithms.
Moderation Effect
The influence of a third variable that modifies the relationship between two other variables.
Mediation Analysis
Examines whether the effect of an independent variable on a dependent variable is mediated through a third variable.