In regression, it is desired to predict the dependent variable based on values of other related independent variables. Occasionally, there are relationships that exist between the independent variables. Which of the following multiple regression pitfalls does this example describe?
A) Multicollinearity
B) Extrapolation
C) Stepwise Regression
D) Estimability

Question

Quizplus · Accepted Answer

Multicollinearity refers to the situation where independent variables in a regression model are highly correlated, leading to difficulties in estimating the relationship between each independent variable and the dependent variable.

In Regression, It Is Desired to Predict the Dependent Variable