Question

Which of the following statements is/are correct in respect of regression coefficients?
$1.$ It measures the degree of linear relationship between two variables.
$2.$ It gives the value by which one variable changes for a unit change in the other variable.
Select the correct answer using the code given below.

• A. $1$ only
• B. $2$ only
• C. Both $1$ and $2$
• D. Neither $1$ nor $2$

Answer 1

The correct option is A $1$ only

When the regression line is linear $(y=ax+b)$ the regression coefficient is the constant $\left(a\right)$ that represents the rate of change of one variable $\left(y\right)$ as a function of changes in the other $\left(x\right)$ i.e. it is the slope of the regression line. Hence, it measures relationship between 2 variables but does not always account for exact change in value of 1 variable due to unit change in another variable due to non-zero value of $\left(b\right)$.