The simple linear regression model y = $\beta$₀ + $\beta$₁x + $\varepsilon$ implies that if x ________, we expect y to change by $\beta$₁, irrespective of the value of x. A) is a straight line B) goes down by one unit C) goes up by one unit D) curves by one unit

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Quizplus · Accepted Answer

In a simple linear regression model represented by the equation y = β0 + β1x + ε, β1 represents the slope of the line, indicating how much y is expected to change for a one-unit increase in x. Therefore, if x goes up by one unit, we expect y to change by β1, irrespective of the value of x. This is because the relationship between x and y is linear, as indicated by the linear equation.

The Simple Linear Regression Model Y = β\betaβ 0 β\betaβ 1x

The Simple Linear Regression Model Y = $\beta$ ₀ $\beta$ ₁x