A researcher is studying the effect of ten different variables on a critical measure of business performance. What method can be used to select the best set of variables to predict performance?
A) Stepwise Regression.
B) ANOVA.
C) Simple linear regression.
D) Residual analysis.

Question

Quizplus · Accepted Answer

Stepwise regression is a useful method in selecting the best set of variables by adding or eliminating variables one at a time to determine which variables significantly predict the outcome variable. It starts with an initial set of predictors and systematically adds or removes them based on the F-statistic, p-value, and R-squared. This approach can help to avoid potentially including irrelevant or redundant variables in the final predictive model.

A Researcher Is Studying the Effect of Ten Different Variables