Interpret Output from Automatic Multiple Regression Model Building Procedures Alpha-To-Remove
Interpret output from automatic multiple regression model building procedures.
-A sample of 22 firms was selected from the high tech industry (Industry = 1) and the
Financial services sector (Industry = 0) . Data were collected on the following variables:
Turnover rate, job growth, number of employees, and innovative index (higher scores
Indicate a more innovative and creative organizational culture) . Below are the stepwise
Regression results considering all predictor variables to explain Turnover Rate. The
Resulting multiple regression model is
Stepwise Regression: Turnover Rat versus Innovative I, Job Growth, ... Alpha-to-Enter: Alpha-to-Remove:
Response is Turnover Rate on 4 predictors, with
A) Turnover Rate = 9.841 - 6.82 Job Growth - 5.89 Industry - 1.91 Innovative Index
B) Turnover Rate = 8.838 - 0.574 Job Growth - 3.14 Industry
C) Turnover Rate = 9.841 - 0.500 Job Growth - 2.70 Industry - 0.028 Innovative Index
D) Turnover Rate = 8.838 - 8.58 Job Growth - 7.41 Industry
E) None of the above.
Correct Answer:
Verified
Q1: Adjust for different slopes using interaction
Q2: Use indicator (dummy) variables in multiple
Q3: Check for collinearity among predictor variables
Q4: Adjust for different slopes using interaction terms
Q6: Adjust for different slopes using interaction
Q7: Apply principles of the multiple regression model
Q8: Use indicator (dummy) variables in multiple
Q9: Use indicator (dummy) variables in multiple regression.
-A
Q10: Use indicator (dummy) variables in multiple
Q11: Check for collinearity among predictor variables
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