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The R Square Value Is Very Important Because It Tells

question 66

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The R Square value is very important because it tells us how well our regression line fits the scatter of data points.It may range from 0 to +1.00 because it is the square of the correlation coefficient,which may range from -1.00 to +1.00.


Definitions:

Marginal Revenue Product

The additional revenue generated from employing one more unit of a factor, such as labor or capital.

Wage Rate

The standard amount of pay given to workers per unit of time (e.g., hour, day) for their labor.

Labor Supply Curve

A graphical representation showing the relationship between the wages offered and the quantity of labor workers are willing to supply.

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