Residual Plot Condition for Regression Inference
A researcher is using a sample of 15 observations to construct a 95% confidence interval for the slope of a population regression line. The corresponding residual plot displays a clear curved pattern. What is the most appropriate action for the researcher to take?
A
Increase the confidence level to 99%
B
Remove outliers until the pattern disappears
C
Proceed with the interval but note the limitation
D
Transform the data or use a nonlinear model
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