What is Least Squares Regression?
Least Squares Regression is a method used in statistics to find the best-fitting line or curve that summarizes the relationship between two or more variables. Imagine you’re trying to draw a best-fitting line through a scatterplot of data points. This line summarizes the relationship between two variables. LSR, a fundamental statistical method, achieves exactly that. It calculates the line that minimizes the total squared difference between the observed data points and the values predicted by the line.
Weighted Least Squares Regression in Python
Weighted Least Squares (WLS) regression is a powerful extension of ordinary least squares regression, particularly useful when dealing with data that violates the assumption of constant variance.
In this guide, we will learn brief overview of Weighted Least Squares regression and demonstrate how to implement it in Python using the statsmodels library.