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R-Squared

What is R-Squared?

The R-Squared (R2) of a regression is an indicator of how well the model explains variation in data. We have observations {yi} with mean μy and the predictions of our model {yi^}.

R2=explainedsumofsquares(ESS)totalsumofsquares(TSS)

RSquaredNearOne

A graph demonstrating R-Squared near one.

RSquaredNearZero

A graph demonstrating R-Squared near zero.