Squares Scale

Covariance Structures

Author

Robert W. Walker

Published

November 11, 2025

A link to the slides for the day.

Slides

gvlma

The most important piece of code.

How’s that done?
load(url("https://github.com/robertwwalker/DADMStuff/raw/master/RegressionExamples.RData"))
library(radiant)
result <- regress(
  EPL, 
  rvar = "Points", 
  evar = "Wage.Bill.milGBP"
)
summary(result)
Linear regression (OLS)
Data     : EPL 
Response variable    : Points 
Explanatory variables: Wage.Bill.milGBP 
Null hyp.: the effect of Wage.Bill.milGBP on Points is zero
Alt. hyp.: the effect of Wage.Bill.milGBP on Points is not zero

                  coefficient std.error t.value p.value    
 (Intercept)           32.116     2.749  11.683  < .001 ***
 Wage.Bill.milGBP       0.240     0.030   8.042  < .001 ***

Signif. codes:  0 '***' 0.001 '**' 0.01 '*' 0.05 '.' 0.1 ' ' 1

R-squared: 0.782,  Adjusted R-squared: 0.77 
F-statistic: 64.675 df(1,18), p.value < .001
Nr obs: 20 
How’s that done?
library(gvlma)
gvlma(result$model)

Call:
lm(formula = form_upper, data = dataset)

Coefficients:
     (Intercept)  Wage.Bill.milGBP  
         32.1159            0.2402  


ASSESSMENT OF THE LINEAR MODEL ASSUMPTIONS
USING THE GLOBAL TEST ON 4 DEGREES-OF-FREEDOM:
Level of Significance =  0.05 

Call:
 gvlma(x = result$model) 

                    Value p-value                Decision
Global Stat        4.8001 0.30843 Assumptions acceptable.
Skewness           0.2378 0.62583 Assumptions acceptable.
Kurtosis           0.1547 0.69412 Assumptions acceptable.
Link Function      1.5649 0.21096 Assumptions acceptable.
Heteroscedasticity 2.8428 0.09178 Assumptions acceptable.

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Returns to AI?

The squares criterion is broadly applied.

  • Principal components derives the variable that accounts for the maximum variation in the collection of variables under study.

  • Regression trees split continuous variables into groupings with minimal variation in the outcomes.

  • Clustering identifies variance reducing groups in multidimensional data.

Each of these falls under the general guise of machine learning along with the principle of training and testing on data.