A Note on a Classroom Lesson Plan for Teaching a Simplified Linear Regression Analysis, using Statdisk Software Dr. Jack Alexander Department of Mathematics Miami Dade College, North Campus Miami, FL 33167 E-mail: jalexan2@mdc.edu
ABSTRACT
One of the most useful economic tools of statistics is Linear Regression Analysis. This analysis allows us to make predictions on the basis of paired data. As it turns out, some relationships are, by nature, directly correlated while others are indirectly correlated. For example, the taller a person is the larger their foot size is likely to be. On the other hand, in an automobile piston chamber increased pressure produces decrease volume. While the formulas required for Linear Regression are rooted in partial differential calculus, those formulas can be easily evaluated if the requisite sums are detailed in a simple table. This paper gives the required formulas and gives an example that illustrates how the formulas can be applied to a real world situation. This simplified approach allows Linear Regression to be presented to beginning statistic students without their having to be first instructed in calculus. To reinforce the Regression Analysis Ideas, the statdisk software implementation is also provided.
KEYWORDS:
Linear functions, Slope, Y-intercept, Regression, Correlation
2010 Mathematics Subject Classifications: 97C40, 97C70, 97D40, 97D50.
INTRODUCTION: Regression Analysis is an invaluable tool for Economics. It allows us to make predictions on the basis of paired data. For example, all business concerns must be in a position to predict customer levels, expenses, debits and profits if they are to remain viable. In what follows, we provide the required formulas and gives an example that illustrates how the formulas can be applied to a real world situation. This simplified approach allows Linear Regression to be presented to beginning statistic students without their having to be first instructed in calculus. The statdisk software implementation is also provided.
11