R-squared in multiple regression analysis is
A)always 20 percent.
B)considered good if it is at least .50.
C)based on improvement over zero.
D)never a helpful measurement.

Question

Quizplus · Accepted Answer

R-squared in multiple regression analysis measures the proportion of variance in the dependent variable that is explained by the independent variables. It ranges from 0 to 1, with a higher value indicating a better fit. R-squared is based on improvement over the null model, which is a model that only includes the intercept. Therefore, it is not always a fixed percentage and can vary depending on the data and the model. A good R-squared value is subjective and depends on the context and purpose of the analysis. However, a value of at least 0.50 is often considered a reasonable minimum for practical significance. Therefore, choice C is the best answer. Choice A is incorrect because R-squared is not always 20 percent. Choice B is partially correct but does not provide a complete explanation. Choice D is incorrect because R-squared is a helpful measurement in regression analysis.

R-Squared in Multiple Regression Analysis Is