Applications of three distinct regression models in GDP predication

Abstract

This paper introduces the basic theory and formula of linear regression, multiple linear regression, and nonlinear regression. Linear regression is one of the commonly used analysis methods in statistical analysis, which can predict the trend of model data change to a certain extent. Multiple linear regression involves more variables to predict and analyze the change trend of data, and can predict the change of data more accurately. Nonlinear regression can predict the model of arbitrary relationship between variables, thus obtaining more accurate prediction data. In the selection of regression analysis method, data characteristics and problem background should be considered, and model assumptions and validation should be paid attention to ensure accuracy and reliability. In the applications, the paper discusses the application of simple linear regression to Okuns law and delves into the complex relationship between multiple variables and gross domestic product (GDP). Finally, it uses nonlinear regression equations to analyze the global inflation rate and the annual data, and proves that there is a nonlinear relationship between the two and a downward trend, which is supported by analyzing the data of Australia and Canada.