Use the inbuilt dataset "Longley" in R for parts 1 and 2.

Part 1:

Fit a linear regression model with 'Employed' as the response variable and all other variables (except 'Year') as predictors. What are the significant predictors at 10% significance level?

A) GNP

B) GNP, Armed.Forces

C) GNP, Unemployed, Population

D) None of the predictors are significant at 10% significance level

Part 2:

What can you say about multicollinearity in this model?

A) The model does not exhibit multicollinearity

B) The model exhibits multicollinearity due to high correlation between GNP, Armed.Forces

C) The model exhibits multicollinearity due to high correlation between GNP, GNP.deflator and population

D) The model exhibits multicollinearity due to high correlation between GNP.deflator, Unemployed