What is the correlation coefficient and what is its significance? Explain why correlation coefficient is bound between -1 and 1. How correlation coefficient depicts itself in scatterplots?
â— Aside from probabilistic models, explain what is least squares line fitting.
â— Explain what simple linear regression is. What are the underlying assumptions in simple linear regression? What hypothesis tests are inherent in a simple linear regression? What is the coefficient of determination and what is its significance? How prediction can be done using a linear regression model? What is a simple way to check for normality of residuals in a regression model? Can you explain why the least squares approach in linear regression provides unbiased estimators of the coefficients?
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