I am told that I can solve for these three unknowns (B1, B2 and B3) by
doing simple linear regression to obtain "residuals"; from the
residuals come the unknowns. For example, I know that with just two
unknowns (B1 and B2) in:
y = B0 + B1 * x1 + B2 * x2 + e
I can obtain B1 after the following schedule of calculations:
regress y on x2 which yields R1 (residual one)
regress x1 on x2 which yields R2
regress R1 on R2 which leads to a slope value that is B1
Now the pitiful questions: how do I get B2? When I have three unknowns
how do I get B3? Please format your excellent answer using my
little "schedule" jargon.
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