Essay
Explain how to deal with categorical variables when it comes to running regression analysis, and how to interpret the results. Frame your answer in the context of explaining income (the dependent variable) as a function of region (a categorical independent variable).
Correct Answer:
Verified
We have to create dummy variables for ea...View Answer
Unlock this answer now
Get Access to more Verified Answers free of charge
Correct Answer:
Verified
View Answer
Unlock this answer now
Get Access to more Verified Answers free of charge
Q3: When dealing with categorical variables in the
Q4: Explain the reason why we cannot include
Q5: It is sometimes useful to "jitter" data
Q6: Given the model College GPA = 2.0
Q7: The coefficient on the interaction of a
Q9: Consider the following regression results: Income
Q10: In a bivariate OLS model where the
Q11: Given the model Income = β<sub>0</sub><sub> </sub>+
Q12: We are analyzing the effects of regime
Q13: Given the following regression results: Income =