Question

What is the relationship between R² and adjusted R² ? How do we use them to explain the model?

Answer 1

Relationship-

R2 measures the proportion the variation in your dependent variable (Y) explained by your independent variables (X) for linear regression model..

adjusted R2 adjusts the statistic based

on the number(of) independent variables in the

Model...

USES-

Compared to R Squared which can only increase, Adjusted R Squared has the capability to decrease with the addition of less significant variables, thus resulting in a more reliable and accurate evaluation.The adjusted R-squared compares the explanatory power of regression models that contain different numbers of predictors.R-squared cannot determine whether the coefficient estimates and predictions are biased, which is why you must assess the residual plots. However, R-squared has additional problems that the adjusted R-squared and predicted R-squared are designed to address.

Note-if there is any understanding problem regarding this please feel free to ask via comment box..thank you