Regression analysis (Part 6) - Adjusted R-squared

One of the drawbacks of R-squared is it always increases when you add additional predictors to a model.

Instead of using R-squared, Adjusted R-square should be used to compare models with different numbers of independent variables.

Adjusted R-squared should be used while selecting important predictors or independent variables for the regression model.

Watch other series of videos for regression analysis :

Regression Analysis (Part 1) -Pearson Correlation Explain (Solution using Minitab and Excel)

Regression Analysis (Part 2) -Basic concept of Simple Linear Regression

Regression Analysis (Part 3) -Least Square Method

Regression Analysis (Part 4) - Residual Analysis

Regression Analysis (Part 5) - Coefficient of Determination (R -Squared)

Regression analysis (Part 6) - Adjusted R-squared

Regression analysis (Part 7) - Multicollinearity

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Arguably the most concise and clear explaination on YouTube.