Properties of Regression Residuals
Consider the following statements regarding residuals from a least-squares regression model.
I. The sum of the residuals is always .
II. A positive residual indicates that the model overestimated the observed response.
III. A negative residual indicates that the model overestimated the observed response.
Which of these statements is or are true?
A
II and III are true.
B
I and III are true.
C
Only II is true.
D
Only I is true.
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