In Choosing the "Best-Fitting" Line Through a Set of Points

question 7

Multiple Choice

In choosing the "best-fitting" line through a set of points in linear regression,we choose the one with the

• A)smallest sum of squared residuals.
• B)largest sum of squared residuals.
• C)smallest number of outliers.
• D)largest number of points on the line.

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Definitions:

Antitrust Laws

Legislation designed to promote competition and prevent monopolies and other practices that restrain trade.

Department of Justice

A federal executive department of the U.S. government responsible for the enforcement of laws and administration of justice.

Celler-Kefauver Act

A United States antitrust law passed in 1950 to prohibit certain mergers and acquisitions that could lead to a decrease in competition.

Lessen Competition

A situation or strategy in which there is a reduction in the intensity of competitive forces within a market or industry.