restriction in using linear regression is that it assumes that past data and future projections fall on or near a straight line.

Question

Quizplus · Accepted Answer

Linear regression is based on the assumption that there is a linear relationship between the input variables and the output variable. It assumes that the data is approximately linear and that the future projections will also fall on or near that line. However, this assumption may not always be true, and in some cases, the relationship between the variables may be nonlinear. Therefore, it is important to use other types of regression analysis or modeling techniques when the linear assumption is not valid.

Restriction in Using Linear Regression Is That It Assumes That