Question: Consider a regression model that uses 48 observations. Let ei denote the residuals from the fitted regression and y`i be the in-sample predicted values of

Consider a regression model that uses 48 observations. Let ei denote the residuals from the fitted regression and y`i be the in-sample predicted values of the dependent variable. The least squares regression of e2i on y`i has coefficient of determination 0.032. What can you conclude from this finding?

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