Question

Given a simple linear regression model with a sample size of n = 2; The sample...

Given a simple linear regression model with a sample size of n = 2; The sample data: (y1, x1), (y2, x2)

(a) State the two normal equations in terms of the sample data

(b) If there is only one observation (y1, x1) in the sample, how would the two normal equations look like?

(c) What conclusion can we draw from the answer in part (a) and (b)?

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Answer #1

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