In a Multiple Regression Model, the Variance of the Error

question 72

Multiple Choice

In a multiple regression model, the variance of the error term ε is assumed to be

• A) the same for all values of the dependent variable.
• B) zero.
• C) the same for all values of the independent variable.
• D) one.

---

Definitions:

SSE

Sum of Squared Errors, a measure used in statistics to quantify the discrepancy between the data and an estimation model.

Multiple Correlation

This refers to the correlation between one variable and two or more other variables, assessed using the multiple correlation coefficient.

SSR

The sum of squared residuals, indicating the discrepancy between the observed and predicted values in a statistical model.

SST

Total Sum of Squares, a measure used in statistical analysis to quantify the total variance observed in a dataset.