If prediction is made from the Pearsonian regression line and linearity of regression does not hold, the predicted value of Y will be
A) an overestimate of Y
B) an underestimate of Y
C) sometimes an overestimate and sometimes an underestimate of Y
D) satisfactory only if the Y distribution is homoscedastic

Question

Quizplus · Accepted Answer

If the linearity assumption does not hold, the predicted values can be either overestimates or underestimates depending on the nature of the non-linearity.

If Prediction Is Made from the Pearsonian Regression Line and Linearity