In General, to Represent a Categorical Independent Variable That Has

question 78

Multiple Choice

In general, to represent a categorical independent variable that has m possible categories, which of the following is the number of dummy variables that can be used in the regression model?

• A) (m + 1) dummy variables.
• B) m dummy variables.
• C) (1 − m) dummy variables.
• D) (m - 1) dummy variables.

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Definitions:

Uncertainty

A situation in which the lack of surety about what is happening, what will happen, or what the potential outcomes are.

Alternative Solutions

Different options or approaches to solving a problem or addressing a situation.

Intuition

The ability to understand or know something immediately based on feelings rather than facts or evidence.

Creativity

The capacity to generate unique and worthwhile concepts.