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How to Calculate Regression Coefficient

One the most basic tools for engineering or scientific analysis is linear regression. This technique starts with a data set in two variables. The independent variable is usually called "x" and the dependent variable is usually called "y." The goal of the technique is to identify the line, y = mx + b, that approximates the data set. This trend line can show, graphically and numerically, relationships between the dependent and independent variables. From this regression analysis, a value for correlation is also calculated.

Things You'll Need

  • Spreadsheet software (optional)
  • Calculator
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Instructions

    • 1

      Identify and separate the x and y values of your data points. If you are using a spreadsheet, enter them into adjacent columns. There should be the same number of x and y values. If not, the calculation will be inaccurate, or the spreadsheet function will return an error.
      x = (6, 5, 11, 7, 5, 4, 4)
      y = (2, 3, 9, 1, 8, 7, 5)

    • 2

      Calculate the average value for the x values and the y values by dividing the sum of all the values by the total number of values in the set. These averages will be referred to as "x_avg" and y_avg."
      x_avg = (6 + 5 + 11 + 7 + 5 + 4 + 4) / 7 = 6
      y_avg = (2 + 3 + 9 + 1 + 8 + 7 + 5) / 7 = 5

    • 3

      Create two new data sets by subtracting the x_avg value from each x value and the y_avg value from each y value.
      x1 = (6 - 6, 5 - 6, 11 - 6, 7 - 6 ... )
      x1 = (0, -1, 5, 1, -1, -2, -2)
      y1 = (2 - 5, 3 - 5, 9 - 5, 1 - 5, ... )
      y1 = (-3, -2, 4, -4, 3, 2, 0)

    • 4

      Multiply each x1 value by each y1 value, in order.
      x1y1 = (0 * -3, -1 * -2, 5 * 4, ... )
      x1y1 = (0, 2, 20, -4, -3, -4, 0)

    • 5

      Square each x1 value.
      x1^2 = (0^2, 1^2, -5^2, ... )
      x1^2 = (0, 1, 25, 1, 1, 4, 4)

    • 6

      Calculate the sums of the x1y1 values and x1^2 values.
      sum_x1y1 = 0 + 2 + 20 - 4 - 3 - 4 + 0 = 11
      sum_x1^2 = 0 + 1+ 25 + 1 + 1 + 4 + 4 = 36

    • 7

      Divide "sum_x1y1" by "sum_x1^2" to get the regression coefficient.
      sum_x1y1 / sum_x1^2 = 11 / 36 = 0.306

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