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प्रतीपगमन विश्लेषण

Number-crunching to discover the relationship between different economic variables. The findings of this statistical technique should always be taken with a pinch of salt. How big a pinch can vary considerably and is indicated by the degree of statistical significance and r squared. The relationship between a dependent variable (GDP, say) and a set of explanatory variables (demand, interest rates, capital, unemployment, and so on) is expressed as a regression equation.

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