What is the primary use of linear regression?

1 Answer
Dec 17, 2014

The primary use of linear regression is to fit a line to 2 sets of data and determine how much they are related.

Examples are:

2 sets of stock prices

rainfall and crop output

study hours and grades

With respect to correlation, the general consensus is:

Correlation values of 0.8 or higher denote a strong correlation
Correlation values of 0.5 or higher up to 0.8 denote a weak correlation
Correlation values less than 0.5 denote a very weak correlation\f

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