Slope when you regress x on y instead of y on x
Question
Two variables have sample variances and . Regressing on by OLS (with intercept) gives slope . What slope do you get when you instead regress on (with intercept)? Answer if it cannot be determined.
Short answer
. Both slopes share the covariance: and . So .
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Open the worked solutionLessons behind this question
- Simple Linear Regression: OLS Estimators and Geometry
- Multiple Linear Regression
- Populations, Samples, and Sampling Distributions
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