The unexplained variation (error sum of squares) is equal to 0 when each value for the variable's observed value is equal to the predicted value. (option 3).
The error sum of squares measures the deviation between the actual and predicted values of the dependent variable in a regression model. When each observed value of the dependent variable is exactly equal to the predicted value, there is no deviation, and the error sum of squares is equal to 0.
In other words, the model explains all of the variations in the dependent variable. This is a desirable outcome in regression analysis, but it is often not attainable in practice, as there is usually some level of variability that is not accounted for by the model.
Complete Question:
When is the unexplained variation (that is the error sum of squares) equal to 0? Choose the correct choice below:
- When each value for the variable"s observed value is lesser than the predicted value.
- When each value for the variable's observed value Is equal to the opposite of the predicted value.
- When each value for the variable's observed value is equal to the predicted value.
- When each value for the variable's observed value is greater than (the predicted value).