Definition - What does Regression Coefficient mean?
Regression Coefficient is the numerical or constant quantity in a regression equation which attempts to model the relationship between two or more variables and a response variable by fitting a linear equation to observe the data. In a linear regression line, the regression coefficient is a constant that represents the rate of change of one variable as a function of changes in the other variable; it is the slope of the regression line.
Petropedia explains Regression Coefficient
Multiple linear regression models are developed to predict or forecast crude oil and gas production volumes in an oilfield, data of crude oil and gas production volumes and significant parameters affecting the production volumes over a period of time. The mathematical model for predicting output in an oilfield comprises of multiple linear regression lines wherein regression coefficients are the coefficients of variables in the equation for modeling the relationship between two or more variables and a response variable by fitting a linear equation to observe the data. Every value of the independent variable is associated with a value of the dependent variable.
Regression coefficient quantifies as to how good a regression line fits to a set of data. A value of 1.0 represents a perfect fit with absolute dependence and a value of 0.5 represents a random data with no dependence.