When independent variables in a multiple regression equation are highly correlat

Question

When independent variables in a multiple regression equation are highly correlated with one another, it creates _____ problem.
A. A multicollinearity B. An autocorrelation C. A heteroscedasticity D. Any of the above E. None of the above When independent variables in a multiple regression equation are highly correlated with one another, it creates _____ problem.
A. A multicollinearity B. An autocorrelation C. A heteroscedasticity D. Any of the above E. None of the above
A. A multicollinearity B. An autocorrelation C. A heteroscedasticity D. Any of the above E. None of the above

Explanation / Answer

when independent variables in a multiple regression equation are highly correlated with one another,it creates

multicollinearity

ption A )Multicollinearity is a correct option.

According to the defination of multicollinearity that is two or more independent variables are interrelated to each other then multicollinearity happen.

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