Residual plots can be used to validate assumptions about the regression model.

How Homoskedasticity Works Homoskedasticity is one assumption of linear regression modeling, and data of this type work well with the least squares method.

Description: An introduction to the modern techniques of econometrics and their applications. Topics include: the classical linear regression model (specification, estimation, inference, and ...

Giornale degli Economisti e Annali di Economia, Nuova Serie, Vol. 68 (Anno 122), No. 2, PAPERS FROM THE «THIRD ITALIAN CONGRESS OF ECONOMETRICS AND EMPIRICAL ECONOMICS» (Luglio 2009), pp. 149-173 (25 ...