Question: 1. (a) You are given a simple linear regression model Yi =B + Bxi +8, i=1,...,n, where B and are unknown parameters, & are
1. (a) You are given a simple linear regression model Yi =B + Bxi +8, i=1,...,n, where B and are unknown parameters, & are the random error terms and n is the sample size. Let b and b be the best linear unbiased estimators of P and , respec- tively. Let rxy be the correlation coefficient, let R be the coefficient of determination and let y be the fitted values of y. (i) Prove that r = R. Give appropriate details. (ii) Prove that 2=2. Give appropriate details. (1) [5] [5]
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