Coefficient of Determination (R-squared)

Definition

The coefficient of determination, also known as R-squared, measures the proportion of variation in the dependent variable that can be explained by the independent variable(s). It ranges from 0 to 1, where 0 indicates no relationship and 1 indicates a perfect fit.

Related terms

Regression Analysis: Regression analysis is a statistical technique used to model and analyze relationships between variables. It helps determine how changes in one variable affect another.

Residuals: Residuals are the differences between observed values and predicted values in regression analysis. They provide information about how well the model fits the data.

Overfitting: Overfitting occurs when a statistical model is too complex or specific to fit noise or random fluctuations in data rather than capturing true underlying patterns.