The Method of Least Squares specifies that the regression line has an average error of 0 and has an
SSE that is minimized.

Question

Quizplus · Accepted Answer

The Method of Least Squares ensures that the sum of the squared differences between the observed values and the values predicted by the model (SSE) is minimized, and by design, this method results in a regression line where the average of the residuals (errors) is zero, indicating that the line is the best fit in the sense of minimizing the discrepancies between observed and predicted values.

The Method of Least Squares Specifies That the Regression Line