Solved Suppose we wanted to predict the selling price of a
The data is presented in the following table with size given in hundreds of square feet, and sale price in thousands of dollars. We are interested in fitting the following simple linear regression model: Y = Xβ + ε a) Calculate X ′ X, ( X ′ X ) − 1 and X ′ Y and then calculate the least squares estimates of β 0 and β 1 .
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