What is regression analysis used for in data mining?

Regression analysis is a statistical method used in data mining to examine the relationships between variables, particularly to understand how the typical value of the dependent variable changes when any one of the independent variables is varied, while the other independent variables are held fixed. This allows analysts to predict outcomes based on historical data, making it a powerful tool for modeling and forecasting in various fields such as business, economics, and social sciences.

By utilizing regression analysis, one can quantify the strength and direction of relationships, enabling decision-makers to make informed predictions and analyses based on input data. This method is particularly valuable when attempting to estimate how different factors may influence a target variable, thereby aiding in strategic planning and resource allocation.