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Earn +20 ptsQ: What does the residual value or a point tell you?
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What is the point on the scatterplot representing the mean x value and mean y value?
Residual point
What is the residual for the point (36)?
A residual is defined in the context of some "expected" value. There is no information in the question regarding expected values.
What you mean by residual value?
The point lies one unit above the regression line.
What does it mean to say that a data point has a residual of -1?
The point lies 1 unit below the regression line.
What is the difference between the stochastic error term and the residual?
Ah, the stochastic error term and the residual are like happy little clouds in our painting. The stochastic error term represents the random variability in our data that we can't explain, while the residual is the difference between the observed value and the predicted value by our model. Both are important in understanding and improving our models, just like adding details to our beautiful landscape.
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