Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Given below are results from the regression analysis on 40 observations where the dependentvariable is the number of weeks a worker is unemployed due to

Given below are results from the regression analysis on 40 observations where the dependentvariable is the number of weeks a worker is unemployed due to a layoff (Y) and the independentvariables are the age of the worker (X1), the number of years of education received (X2), thenumber of years at the previous job (X3), a dummy variable for marital status (X4: 1 = married,0 = otherwise), a dummy variable for head of household (X5: 1 = yes, 0 = no) and a dummyvariable for management position (X6: 1 = yes, 0 = no).

The coefficient of multiple determination ( Rj2) for the regression model using each of the 6variables Xj as the dependent variable and all other X variables as independent variables are,

respectively, 0.2628, 0.1240, 0.2404, 0.3510, 0.3342 and 0.0993.

The variable X1 should be dropped to removecollinearity?

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Contemporary Business Mathematics With Canadian Applications

Authors: Ali R. Hassanlou, S. A. Hummelbrunner, Kelly Halliday

12th Edition

0135285011, 978-0135285015

More Books

Students also viewed these Mathematics questions