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Algorythm / what’s so special about linear regression anyways…


Linear regression is a statistical method used to understand the relationship between two variables by fitting a straight line to the data points. In simple terms, it helps predict one variable (the dependent variable) based on the value of another (the independent variable).


HOW DOES MULTIPLE LINEAR REGRESSION DIFFER FROM SIMPLE LINEAR REGRESSION


Simple linear regression involves 1 independent variable, while multiple linear regression involves 2 or more independent variables. Multiple linear regression allows for more complex and realistic of real-world phenomena.


WHEN IS MULTIPLE LINEAR REGRESSION MOST OPTIMAL



1. When there are multiple independent variables


Multiple linear regression allows modeling the relationship between a dependent variable and multiple independent variables simultaneously. This is optimal when you have several factors that potentially influence the outcome and want to account for their combined effects.


2. When the relationship is complex


If the relationship between the dependent variable and independent variables is complex and cannot be captured by a single linear relationship, multiple regression is optimal. It provides a more comprehensive model by considering multiple factors.


3. When you want to control for confounding variables


Multiple regression allows controlling for confounding variables, which are variables that are correlated with both the independent and dependent variables. By including these variables in the model, you can isolate the effect of the variables of interest.


4. When you want to make accurate predictions


Multiple regression can provide more accurate predictions compared to simple linear regression by considering more information. The more relevant independent variables included, the better the model can predict the dependent variable.


5.When you want to understand the relative importance of variables


Multiple regression provides information on the relative importance of each independent variable in predicting the dependent variable. The standardized regression coefficients indicate how much the dependent variable changes per unit change in the independent variable, holding all other variables constant.



REAL-LIFE USE CASES

1. Housing Prices: Predicting house prices based on features like size, number of bedrooms, and location.


2. Sales Forecasting: Estimating future sales based on advertising spend or previous sales data.


3. Health Studies: Analyzing the relationship between exercise frequency and weight loss to predict outcomes based on activity levels.



Multiple linear regression is most optimal when you have multiple independent variables, the relationship is complex, you want to control for confounding variables, make accurate predictions, and understand the relative importance of variables. The ability to model complex relationships and provide more accurate predictions makes multiple regression a powerful tool in many fields.


 

Wanna learn more? dig in.


[1] Linear vs. Multiple Regression: What's the Difference? - Investopedia https://www.investopedia.com/ask/answers/060315/what-difference-between-linear-regression-and-multiple-regression.asp

[2] What Is Linear Regression? | IBM https://www.ibm.com/topics/linear-regression

[3] Machine Learning: Algorithms, Real-World Applications and Research Directions https://link.springer.com/article/10.1007/s42979-021-00592-x

[4] What is Linear Regression? - Spiceworks https://www.spiceworks.com/tech/artificial-intelligence/articles/what-is-linear-regression/

[5] Linear regression - Wikipedia https://en.wikipedia.org/wiki/Linear_regression

[6] Regression: Definition, Analysis, Calculation, and Example https://www.investopedia.com/terms/r/regression.asp

[7] Choosing the Correct Type of Regression Analysis https://statisticsbyjim.com/regression/choosing-regression-analysis/

[8] Top 10 machine learning algorithms with their use-cases - DataKwery https://www.datakwery.com/post/top-10-ml-algorithms-with-use-cases/

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