Often the questions we ask require us to make accurate predictions on how one factor affects an outcome. If a teacher is asked to work out how time spent writing an essay affects essay grades, it’s ...

Adam Hayes, Ph.D., CFA, is a financial writer with 15+ years Wall Street experience as a derivatives trader. Besides his extensive derivative trading expertise, Adam is an expert in economics and ...

Beside the model, the other input into a regression analysis is some relevant sample data, consisting of the observed values of the dependent and explanatory variables for a sample of members of the ...

About the only certainty in the stock market is that, over the long haul, over performance turns into under performance and vice versa. Is there a pattern to this movement? Let's apply some simple ...

The slope and intercepts we compute in a regression model are statistics calculated from the sample data. They are point estimates of corresponding parameters; namely, the slope and intercept in the ...

Quick take: At the end of March the S&P 500 index price was 56% above its long-term trend, up from 53% above trend the previous month (a downward adjustment from 54%). About the only certainty in the ...