Enter your The World of Accounting For Professional Accountants username.
Enter the password that accompanies your username.

Poll

Best personal finance software?:

States

Articles : 57
Submited Firms : 97
Glossary Words : 3236
Jobs Request : 3
Group Members : 4226
Excel Files : 113
PPT Files : 665
PDF Files : 31

Who's online

There are currently 0 users and 2 guests online.

HOMOSCEDASTICITY

Submission of a form on this page may not work as you do not appear to have JavaScript enabled in your browser.

 

condition found in a type of scatter graph; also known as constant variance. It is one of the assumptions required in a REGRESSION ANALYSIS in order to make valid statistical inferences about population relationships.Homoscedasticity requires that the standard deviation and variance of the error terms (μ) are constant for all x , and that the error terms are drawn from the same population. This indicates that there is a uniform scatter or dispersion of data points about the regression line. If the assumption does not hold , the accuracy of the b coefficient is open to question.