How does robust regression work?

Can you explain how robust regression works?

Sure! Robust regression is a type of regression analysis designed to overcome some limitations of traditional methods, especially when dealing with outliers.

What are the main differences between robust regression and ordinary least squares?

The main difference is that robust regression reduces the influence of outliers, while ordinary least squares can be heavily affected by them.

When should I use robust regression?

You should consider using robust regression when your data contains outliers or when the assumptions of ordinary least squares are violated.

Can you give me an example of robust regression in practice?

Certainly! For instance, in a dataset of housing prices, if a few properties are priced significantly higher than others, robust regression can provide a more accurate model.