A scatter diagram is given with one of the points labeled ʺA.ʺ In addition, there are two least -squares regression lines
drawn. The solid line excludes the point A. The dashed line includes the point A. Based on the graph, is the point A
influential
-What effect will an influential observation have upon the graph of the least squares regression line
A) It will pull the graph toward the observation.
B) It will have no effect.
C) It will push the graph away from the observation.
D) It will lower the value of the correlation coefficient to make further analysis meaningless.

Question

Quizplus · Accepted Answer

An influential observation, such as point A in this scenario, will pull the least squares regression line towards itself, altering the slope and possibly the intercept of the line compared to the regression line calculated without it. This effect is visible when comparing the solid line (excluding point A) and the dashed line (including point A) in the scatter diagram.

A Scatter Diagram Is Given with One of the Points