Scribd
Upload
40 views6 pages

Multiple Linear Regression in R Guide

The document discusses fitting a multiple linear regression model in R. It uses a marketing dataset to regress sales against three types of media advertising (YouTube, newspaper, Facebook) to see how they affect sales. It provides the model results and analysis of the model fit and parameter significance.

Uploaded by

meric8669
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PDF, TXT or read online on Scribd
40 views6 pages

Multiple Linear Regression in R Guide

The document discusses fitting a multiple linear regression model in R. It uses a marketing dataset to regress sales against three types of media advertising (YouTube, newspaper, Facebook) to see how they affect sales. It provides the model results and analysis of the model fit and parameter significance.

Uploaded by

meric8669
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PDF, TXT or read online on Scribd
You are on page 1/ 6

MULTIPLE LINEAR REGRESSION

MODELLING IN R
DATASET USED

• We shall use the “Marketing” dataset located in package “datarium”.


• First we shall install the package in R as follows:
install.packages(“datarium”)
• Once the package is installed, we shall call the dataset:
data(marketing)
• To attach the dataset into R memory:
attach(marketing)
FITTING A MULTIPLE LINEAR REGRESSION
MODEL
• To fit a linear regression model in R, we use function lm().
• We shall regress sales against the three types of media advertising
outlets:
- Youtube -Newspaper -Facebook
• In essense, we want to see how these outlets affect the sales of a
certain company.
• To do this we use:
Model=lm(sales~youtube+newspaper+facebook,data=marketing)
MODEL RESULTS
Call:
lm(formula = sales ~ youtube + facebook + newspaper, data = marketing)

Residuals:
Min 1Q Median 3Q Max
-10.5932 -1.0690 0.2902 1.4272 3.3951

Coefficients:
Estimate Std. Error t value Pr(>|t|)
(Intercept) 3.526667 0.374290 9.422 <2e-16 ***
youtube 0.045765 0.001395 32.809 <2e-16 ***
facebook 0.188530 0.008611 21.893 <2e-16 ***
newspaper -0.001037 0.005871 -0.177 0.86
---
Signif. codes: 0 ‘***’ 0.001 ‘**’ 0.01 ‘*’ 0.05 ‘.’ 0.1 ‘ ’ 1

Residual standard error: 2.023 on 196 degrees of freedom


Multiple R-squared: 0.8972, Adjusted R-squared: 0.8956
F-statistic: 570.3 on 3 and 196 DF, p-value: < 2.2e-16
ANALYSIS (MODEL FIT)
• The fitted model

= + ∗ + ∗ + ∗ +

• The F-test tells us about the overall fit of the model.


• The hypothesis to be tested is
: = = =0
: ≠0 for at least one i; i=1,2,3
• Reject is rejected when the p-value<α
• or F-statistic> , (1 − α)
• In R use function qf(1 − α,p,n-p-1)
ANALYSIS (PARAMETER SIGNFICANCE )
• The t-test is used to test for the signicance of the parameters.
• The t-value is given by:
. = ; for i=0,1,2,3
.
• The hypothesis to be tested is :
: =0
: ≠0 ; for i=1,2,3
• The null hypothesis is rejected when p-value<α

• Or when the t.value> (1 − )

You might also like