AI engineering glossary · Statistics inference
What is Adjusted R-squared?
Adjusted R-squared: A version of R-squared that penalises extra predictors, computed as 1 - (1 - R^2)(n - 1)/(n - p - 1). It rises only if a new predictor improves the fit more than chance would.
Adjusted R-squared: an example
Adding a random column raises R-squared from 0.72 to 0.721 but lowers the adjusted value from 0.71 to 0.709.
Related terms
More Statistics inference terms
- Alternative hypothesis
- ANOVA
- Average treatment effect
- Bayesian inference
- Benjamini-Hochberg procedure
- Bias of an estimator
- Bonferroni correction
- Bootstrap
Where you learn it
Adjusted R-squared is part of the AI Engineering Program, which teaches it with notes, a hands-on lab and an exam. The first lesson is free.