We compare the percent of variation explained R² for a regression model with seasonal dummy variables to the MAPE for the smoothing model with seasonality to see which model is more accurate.

Question

Quizplus · Accepted Answer

The percent of variation explained (often referred to as R-squared or R^2) in a regression model and the Mean Absolute Percentage Error (MAPE) for a smoothing model measure different aspects of model performance (explanatory power vs. forecasting accuracy) and are not directly comparable for determining model accuracy.

We Compare the Percent of Variation Explained R2 for a Regression

We Compare the Percent of Variation Explained R² for a Regression