When is regression to the mean least effective in terms of predicting future outcomes?
A) When some data points are extreme
B) When the available data on past outcomes are from a relatively recent time period
C) When conditions in the environment are changing
D) When the environment is relatively stable, but there has been a "spike" in extreme values

Question

Quizplus · Accepted Answer

Regression to the mean is least effective when conditions in the environment are changing because the underlying assumptions about the stability of the system and the relationships between variables may no longer hold true.

When Is Regression to the Mean Least Effective in Terms