Consider the following regression model: Humidity = β₀ + β₁Temperature + β₂Spring + β₃Summer + β₄Fall + β₅Rain + ε, where the dummy variables Spring, Summer, and Fall represent the qualitative variable Season (spring, summer, fall, winter) , and the dummy variable Rain is defined as Rain = 1 if rainy day, Rain = 0 otherwise.
Assuming the same temperature and precipitation condition, what is the difference between the predicted humidity for summer and winter days?

Question

Quizplus · Accepted Answer

The difference between the predicted humidity for summer and winter days, assuming the same temperature and precipitation condition, is captured by the coefficient of the dummy variable for summer (β13) since winter is the omitted category and serves as the baseline. The coefficients for temperature, rain, and other seasons are not involved in this specific comparison.

Consider the Following Regression Model: Humidity = β0 + β1Temperature

Consider the Following Regression Model: Humidity = β₀ + β₁Temperature