Statistical Inference about Slope
This section further details two types of inferences on the slope parameter, considering both confidence intervals and hypothesis testing.
- The parameter , the slope of the population regression line, is of primary interest because it describes the average change in with respect to unit increase in .
- The statistic , the slope of the least squares regression line, is a point estimate of . Confidence intervals for can be computed using a formula.
- Hypotheses regarding are tested using the same five-step procedures introduced in Chapter 8 "Testing Hypotheses".