In general, the number of dummy variables used is always equal to the number of categories in the qualitative data.

Name: In general, the number of dummy variables used is always equal to the number of categories in the qualitative data.
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Quizplus · Accepted Answer

The number of dummy variables used is typically one less than the number of categories in the qualitative data to avoid the dummy variable trap, which can cause multicollinearity issues in statistical models.

In General, the Number of Dummy Variables Used Is Always