Context for Use: Linear regression is only appropriate when the PMCC is close to or . If the data shows a curved pattern, non-linear models like the Power Model or Exponential Model are used.
The Power Model: Represented by the equation , where and are constants. This model is often used when one variable is proportional to a power of another.
The Exponential Model: Represented by , where and are constants. This is typically used to model growth or decay processes where the rate of change is proportional to the current value.
Linearization: To apply linear regression techniques to non-linear data, we 'code' the data using logarithms to transform the curved relationship into a straight line.
Coding the Power Model (): Taking logs of both sides yields . By plotting against , we obtain a linear graph where the gradient is and the vertical intercept is .
Coding the Exponential Model (): Taking logs yields . Plotting against results in a linear graph where the gradient is and the vertical intercept is .
| Model Type | Original Form | Linearized Form | Plot Variables |
|---|---|---|---|
| Power | vs | ||
| Exponential | vs |
Step 1: Transformation: Convert the raw and data into coded values ( and ) using the appropriate logarithmic base (usually base 10 or ).
Step 2: Regression: Calculate the linear regression line for the coded data, usually in the form .
Step 3: Decoding: Use inverse logarithms (exponentiation) to find the original constants. For example, if , then .
Step 4: Prediction: Substitute values into the final non-linear equation to make estimates.
Interpolation vs. Extrapolation: Always check if a prediction is within the range of the original data (interpolation). Predictions outside this range (extrapolation) are unreliable as the model may not hold.
Log Base Consistency: Ensure you use the same base for decoding that you used for coding. If you used (natural log), use to reverse it; if you used , use .
Units and Context: When interpreting the PMCC, remember that correlation does not imply causation. A high value only proves a mathematical link, not a physical cause-and-effect relationship.