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MCS,PHD
Argosy University/ Phoniex University/
Nov-2005 - Oct-2011
Professor
Phoniex University
Oct-2001 - Nov-2016
Dow Jones 2006. The Dow Jones stock index measures the performance of the stocks of America’s largest companies (http://finance.yahoo.com). A regression of the Dow prices on years 1972 - 2006 looks like this:

a) What is the correlation between the Dow Index and the Year?
b) Write the regression equation.
c) Explain in this context what the equation says.
d) Here’s a scatterplot of the residuals. Which assumption(s) of the regression analysis appear to be violated?

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