Source | SS df MS ---------+------------------------------ Model | 32312938.7 1 32312938.7 Residual | 162857898 1026 158730.895 ---------+------------------------------ Total | 195170837 1027 190039.764
Although we are not particularly concerned with ANOVAs in this module, it is nice to know the following definitions. SS is the sum-of-squares, which is sum of the squared distance between each observation point and the mean value of mxtrent. "Model" sums the squares of the distances between the mean value of mxtrent and the "best-fit" line. "Residual" sums the squares of the distances between the "best-fit" line and all individual households' monthly expenditure. "df" stands for degrees of freedom, which is number of observations in the sample minus the number of independent constraints. The number of degrees of freedom serves as a flexibility measure in the t distribution. MS is the mean of squares or simply SS divided by df.