From the course: 11 Useful Tips for Regression Analysis

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Contour plots

Contour plots

From the course: 11 Useful Tips for Regression Analysis

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Contour plots

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- [Instructor] Contour plots, visualize three dimensional data, in two dimensions, by using contours to represent this third dimension. They're often used in maps, but geography is displayed in two dimensions, and height is added in a third dimension via contours. And that gives the illusion of adding depth to maps. But contour plots can also be used for statistical purposes. For example, we can use them to examine complicated interaction effects, of continuous variables. Continuous by continuous interactions in the regression, can lead to very complicated coefficients, that can take quite a while to figure out. Contour plots can significantly speed up the process of understanding these coefficients, and presenting the results to others. Let's go take a look. Here we're on Stata are using the auto training data. And let's go ahead and run a complex regression, with a continuous by continuous interaction. We're going to…

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