Regression model-strengths and weaknesses


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Q: The Shipbuilders Council of America in Washington, D.C., publishes data about private shipyards. Among the variables reported by this organization are the employment figures (per 1000), the number of naval vessels under construction, and the number of repairs or conversions done to commercial ships (in $ millions). Shown here are the data for these three variables over a seven-year period. Use the data to develop a regression model to predict private shipyard employment from number of naval vessels under construction and repairs or conversions of commercial ships. Comment on the regression model and its strengths and its weaknesses

        Commercial Ship
                                 Repairs or
Employment Naval Vessels Conversions

133.4 108 431
177.3 99 1335
143.0 105 1419
142.0 111 1631
130.3 100 852
120.6 85 847
120.4 79 806

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Applied Statistics: Regression model-strengths and weaknesses
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