Political analysts believe that voters level of education has a significant impact on the approval ratings given to a particular politician. The hypothesis was tested using regression analysis. If the variable education had seven categories, how many dummy variables are necessary to include this variable in a regression equation?

Question

Quizplus · Accepted Answer

When including a categorical variable with $n$ categories in a regression model, $n-1$ dummy variables are needed. For education with 7 categories, $7-1=6$ dummy variables are necessary.

Political Analysts Believe That Voters Level of Education Has a Significant