True or False: Two simple regression models were used to predict a single dependent variable.
Both models were highly significant, but when the two independent variables were placed in the
same multiple regression model for the dependent variable, R2 did not increase substantially and
the parameter estimates for the model were not significantly different from 0.This is probably an
example of collinearity.

Question

Quizplus · Accepted Answer

Collinearity occurs when two independent variables are highly correlated, leading to instability in parameter estimates and minimal increase in R² when both are included in a multiple regression model.

True or False: Two Simple Regression Models Were Used to Predict