If I wanted to determine how well my sample regression funct

If I wanted to determine how well my sample regression function “fit” the actual data, I would...

a. do a hypotheses tests on each individual coefficient

b. calculate r²

c. do a hypothesis test on GPA

d. minimize the sum of the squared deviations

Please help! Thanks!

Solution

The r^2 value measures how the regression fits your data. That closer it is to 1, the better the fit; the closer it is to 0, the farther it is from the line.

So

OPTION B: CALCULATE R^2 [ANSWER]