Forecasting, From Simple to Complex

Linear regression is a simple statistical method most of us are familiar with if we have ever taken an introductory course in statistics. Linear regression is used to model the relationship between a dependent variable and an independent variable. Suppose you are studying the relationship between the number of hours studied (independent variable) and the score on a math test (dependent variable) for a group of students. In this example, the independent variable is the number of hours studied, and the dependent variable is the score on the math test. You could collect data on the number of hours each student studied and their corresponding math test scores and use linear regression to model the relationship between the two variables.