15.2. Learning Objectives#

Conceptual

After this week, you should be able to:

  • Understand the equation and interpretation of R-squared and the Root-Mean-Square-Error

  • Understand the equation for finding the standard error and how to interpret the significance test on the slope

  • Understand the standard error, t-statistic, and significance level in the regression table.

  • Assess whether regression assumptions have been met.

These points will be covered in the lecture.

Python Skills

We will be working with statsmodels in Python again. This week, you will learn to:

  • Explore model assumptions using graphs in Python

  • Find p-value and significance levels on intercept and slope

  • Find R-squared and RMSE and interpret