Q.28
Suppose you perform the following multiple regression: Y = B0 + B1X1 + B2X2 + B3X3. You find that X1 and X3 have a near perfect correlation. How would you conclude on the utility of your regression result?
a. This is a problem of multicollinearity which renders the entire regression invalid.
b. This is a problem of multicollinearity which nevertheless does not necessarily invalidate the utility of the model as a whole.
c. This is NOT a regression problem and inferences made using the model and the respective coefficients remain valid.
d. This is a problem of multicollinearity. However inferences made concerning the individual contribution of the model coefficients remain valid
From the given information the answer is
a) this is a problem of multicollinearity which renders entire regression is invalid.
Becouse due to multicillinearity inferences made about individual contributions of model coefficient is invalid.
Q.28 Suppose you perform the following multiple regression: Y = B0 + B1X1 + B2X2 +...
2) Suppose the regression model y = B0 + B1x1 + B2x2 + B3x3 + B4x1x2 + B5x1x3 + B6x2x3 was fit to n = 27 data points with SSE = 2000.0. a) Set up the null and alternative hypotheses for testing whether the interaction terms are significant. b) Give the reduced model necessary to test the significance of the interaction terms. c) The reduced model resulted in SSE = 2800. Calculate the value of the test statistic appropriate for...
2) Suppose the regression model y = B0 + B1x1 + B2x2 + B3x3 + B4x1x2 + B5x1x3 + B6x2x3 was fit to n = 27 data points with SSE = 2000.0. a) Set up the null and alternative hypotheses for testing whether the interaction terms are significant. b) Give the reduced model necessary to test the significance of the interaction terms. c) The reduced model resulted in SSE = 2800. Calculate the value of the test statistic appropriate for...