TABLE 15-5
What are the factors that determine the acceleration time (in sec.) from 0 to 60 miles per hour of a car? Data on the following variables for 171 different vehicle models were collected:
Accel Time: Acceleration time in sec.
Cargo Vol: Cargo volume in cu. ft.
HP: Horsepower
MPG: Miles per gallon
SUV: 1 if the vehicle model is an SUV with Coupe as the base when SUV and Sedan are both 0
Sedan: 1 if the vehicle model is a sedan with Coupe as the base when SUV and Sedan are both 0
The coefficient of multiple determination (R) for the regression model using each of the 5 variables Xⱼ as the dependent variable and all other X variables as independent variables are, respectively, 0.7461, 0.5676, 0.6764, 0.8582, 0.6632.
-Referring to Table 15-5, there is reason to suspect collinearity between some pairs of predictors based on the values of the variance inflationary factor.

Question

Quizplus · Accepted Answer

The variance inflationary factor (VIF) is a measure of collinearity, where a value greater than 1 indicates some degree of collinearity. If the VIF is too high for one or more predictors, it suggests that those predictors may be redundant and may need to be removed from the model. Since the question mentions that there is reason to suspect collinearity based on the values of the VIF, the answer is A – true.

TABLE 15-5 What Are the Factors That Determine the Acceleration Time (In