Multiple linear regression with a binary covariate

This interactive simulation shows how the fitted plane in a multiple regression with two covariates, X1 and X2, can be represented in 2d, when one of the covariates (X2) is binary.

Model: Y ~ Intercept + b1*X1 (Continuous) + b2*X2 (Binary)

Correlation between X1 and X2: 0.70 (Controls how strongly X1 predicts X2)

R-squared: 0.80 (Controls effect size relative to noise)

Number of Points: 200