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Which of the Following Is True Regarding a Regression Model

Question 62

Multiple Choice

Which of the following is true regarding a regression model with multicollinearity, a high r2 value, and a low F-test significance level?


A) The model is not a good prediction model.
B) The high value of r2 is due to the multicollinearity.
C) The interpretation of the coefficients is valuable.
D) The significance level tests for the coefficients are not valid.

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