Question

Discuss the view of perfect/non-perfect predication and perfect/non-perfect correlation in linear regression?

Answer 1

Hi,

If it is "prediction" instead of predication then perfect prediction means actual values are close to predicted values and non perfect prediction means actual values are far from predicted values.

Perfect correlation means there is strong linear relationship between independent variables and non perfect correlation means there is no linear relationship between independent variables but there might be some non linear relationship between them.

I hope this explaination answers your question.

Thanks!