Simple linear regression model.
Finding the Equation of the Regression Line and Making Predictions. Find out the regression equation, letting the first variable be the predictor (x) variable. Find the indicated predicted value by following the prediction process.
CPI and Pizza find the best predicted cost of a slice of pizza when the Consumer Price Index (CPI) is 182.5 (in the year 2000).
|
CPI
|
30.2
|
48.3
|
112.3
|
162.2
|
191.9
|
197.8
|
|
Cost of pizza
|
0.15
|
0.35
|
1.00
|
1.25
|
1.75
|
2.00
|