Video: What Defines A Line?

A line is commonly identified by an intercept and a slope.

The intercept is defined as the predicted value of the response when the x-variable is zero.

The slope is defined as the predicted change in the response for every one unit increase in the x-variable.

We notate the line in linear regression in the following way:

\hat{y} = b_0 + b_1x_1

where

\hat{y} is the predicted value of the response from the line.

b_0 is the intercept.

b_1 is the slope.

x_1 is the explanatory variable.

y is an actual response value for a data point in our dataset (not a prediction from our line).