The logarithm transformation can be used
A) to test for possible violations to the autocorrelation assumption.
B) to change a linear independent variable into a nonlinear independent variable.
C) to change a nonlinear model into a linear model.
D) to overcome violations to the autocorrelation assumption.

Question

Quizplus · Accepted Answer

The logarithm transformation can be used to change a nonlinear model into a linear model through logarithmic regression. This can be helpful in situations where a linear relationship cannot be established between the dependent and independent variables without transformation.

The Logarithm Transformation Can Be Used