Exam 20: Cluster Analysis

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is a clustering procedure characterized by the development of a tree- like structure.

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Cluster analysis requires prior knowledge of the cluster or group membership for each object or case included to develop the classification rule.

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The centroids represent the mean values of the objects contained in the cluster on each of the variables.

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is a procedure that first assigns or determines a cluster center and then groups all objects within a pre- specified threshold value from the center.

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Use of different distance measures may lead to different clustering results. Hence, it is advisable to use different measures and compare the results.

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Which statement is not true concerning the clustering solution if the variables are measured in vastly different units?

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Why should the clustering of variables be used?

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The complete linkage method of hierarchical clustering is based on the minimum distance or the nearest neighbor approach.

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One method of assessing reliability and validity of clustering is to use different methods of clustering and compare the results.

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To reduce the number of variables, a large set of variables can often be replaced by the set of cluster components.

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The centroid method is a variance method of hierarchical clustering in which the distance between two clusters is the distance between their centroids (means for all the variables).

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