Economic information

2 Use Figure 11.1 to answer the following questions: a Identify the dependent variable b Identify the independent variable c explain the relationship between the two variables Salary vs Experience (Traininlg set) 120000 - 0 100000 , 80000 - salary 60000 ' 40000 - . i . i i 2 4 6 8 10 Years of experience 5 What is the R squared value in Figure 11.3 6 What is the R squared value in Figure 11.4 Is it higher or lower than the one in Figure 11.3? 7 Explain the reason for the lower R squared value (observe the data point pattern in the Figure 11.3) 8 Explain the reason for the higher R squared value (observe the data point pattern in the Figure 11.4) 55'.