Linear Regression

Linear regression is one of the most commonly used predictive

modelling techniques.It is represented by an equation 𝑌 = 𝑎 + 𝑏𝑋 +
𝑒, where a is the intercept, b is the slope of the line and e is the error
term. This equation can be used to predict the value of a target
variable based on given predictor variable(s).

Logistic Regression

Logistic regression is used to explain the relationship between one

dependent binary variable and one or more nominal, ordinal,
interval or ratio-level independent variables.

Polynomial Regression

A regression equation is a polynomial regression equation if the

power of independent variable is more than 1. The equation below
represents a polynomial equation. 𝑌 = 𝑎 + 𝑏𝑋 + 𝑐𝑋2. In this
regression technique, the best fit line is not a straight line. It is
rather a curve that fits into the data points.

Ridge Regression

Ridge regression is suitable for analyzing multiple regression data

that suffers from multicollinearity. When multicollinearity occurs,
least squares estimates are unbiased, but their variances are large so
they may be far from the true value.By adding a degree of bias to the
regression estimates, ridge regression reduces the standard errors. It
is hoped that the net effect will be to give estimates that are more
reliable.

Determining the Best Fitting Line

we have a random sample of 20 students with their height (x) and

weight (y) and we need to establish a relationship between the two.
One of the first and basic approach to fit a line through the data
points is to create a scatter plot of (x,y) and draw a straight line that
fits the experimental data.

Since there can be multiple lines that fit the data, the challenge
arises in choosing the one that best fits. As we already know, the best
fit line can be represented as
 𝑦 denotes the observed response for experimental unit i

 𝑥𝑖 denotes the predictor value for experimental unit i

 𝑦̂𝑖 is the predicted response (or fitted value) for experimental

unit i