The high-low method:
A)easily handles estimating the relationship between the dependent variable and two or more independent variables
B)is more accurate than the regression method
C)calculates the slope coefficient using only two observed values within the relevant range
D)uses the residual term to measure goodness of fit

Question

Quizplus · Accepted Answer

The high-low method calculates the slope coefficient using only two observed values within the relevant range, and is therefore a simple but less accurate method of estimating the linear relationship between the dependent variable and independent variable. Option A is incorrect because the high-low method only considers one independent variable. Option B is incorrect because regression is generally considered to be more accurate than the high-low method. Option D is also incorrect, as the high-low method does not use the residual term to measure goodness of fit.

The High-Low Method