An interaction term in a multiple regression model may be used when the relationship between X₁ and Y changes for differing values of X₂.

Question

Quizplus · Accepted Answer

This is a correct statement. An interaction term allows for the relationship between one independent variable (X₁) and the dependent variable (Y) to differ depending on the level of another independent variable (X₂). This allows for a more nuanced understanding of the relationships between variables in regression models.

An Interaction Term in a Multiple Regression Model May Be