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
Correct Answer:
Verified
Q10: The fitted values from a multivariate regression
Q11: We are analyzing the effects of regime
Q12: Given the model Income = β<sub>0</sub><sub> </sub>+
Q13: Explain the reason why we cannot include
Q14: Consider the following regression results: Income
Q15: When dealing with categorical variables in the
Q16: The fitted values from a multivariate regression
Q17: Explain the difference between a bivariate and
Q18: Suppose we are interested in the effect
Q20: The coefficient on the interaction of a