From a management policy perspective,which regression result is the most useful? A)a regression equation that passes the F-test B)a regression equation whose explanatory variables all pass the t-test C)a regression equation that has the highest R² D)a regression equation that has the least number of dummy variables

Question

Quizplus · Accepted Answer

A regression equation whose explanatory variables all pass the t-test is the most useful from a management policy perspective as it indicates which explanatory variables are statistically significant in explaining the dependent variable, allowing for informed decision-making and policy implementation. The F-test only assesses the overall significance of the regression equation, while the R² is not a commonly used measure in regression analysis. The number of dummy variables is dependent on the specific research question and cannot be generalized as the least number of dummy variables may not necessarily be the most useful in all cases.

From a Management Policy Perspective,which Regression Result Is the Most