Question: Baseball Team Rankings Part 1 : A small example In this question, you will estimate the rankings of baseball teams using their past game performance.

Baseball Team Rankings
Part 1: A small example
In this question, you will estimate the "rankings" of baseball teams using their past game performance. We will first do a tiny example to show how one might try to rank four teams, A,B,C,D who all played against one another in a season.
Game 1: Team A vs Team B: 1-4
Game 2: Team C vs Team D: 4-3
Game 3: Team A vs Team C: 9-5
Game 4: Team B vs Team D: 6-8
Game 5: Team A vs Team D: 9-0
Game 6: Team B vs Team C: 3-8
Now, let us suppose that the object of our ranking system is that the difference in the rankings between Team I and Team J should correspond to the point difference in a game where Team I plays Team J.
This gives us, for each pair of teams, a linear equation
$$r_I - r_J = y_{IJ}$$
where $r_I$ is the ranking of Team $I$, and $y_{IJ}$ is the score difference between Team $I$ and Team $J$.

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