explain what is wrong with the way regression is used in the

explain what is wrong with the way regression is used in the following: A regression between ×= number of years of education and y= annual income for 100 people shows a modest positive trend except for one person who dropped out after the 10th grade but is now a multimillionaire. it\'s wrong to ignore any data , so we should report all results including this point, such as the correlation r= -0.28.

Solution

As the regression represents the relationship of the best fit for the dependent and independent variable

A value of r=-.28 represents a trend of decrease in the annual income for 100 people with the number of years of education

It is coming from the value of data taken from the outliner,so we should exclude this data so that a positive correlation is represented