Vol. 5, Issue 6, Part C (2019)

Abstract
The functional relationship between variables defines the dependence of dependent variable upon the independent variables in a specific form. The functional relation may be linear or log linear or semi log or lin-log or reciprocal type. Different models have different implications such as when we want to calculate growth rate we generally use semi log model, again to calculate elasticity of some economic variables we use log linear model etc. In this paper main focus given on the estimation procedure and interpretation of the estimated equation. In this article we use Straight Line Model, Log-Linear Model, Semi-Log Model, Lin-Log Model. At first we explain the important features of a good regression model, and then we explain the estimation procedure and interpretation of different types of model.