Which of the Following Statements Is True

question 52

Multiple Choice

Which of the following statements is true?

• A) Dummy variables are used to incorporate categorical variables into a regression model.
• B) You should use one fewer dummy variables than are categories for the qualitative variable in question.
• C) It is appropriate to compute a correlation coefficient for the relationship between a dependent variable and a dummy variable.
• D) All of the above are true.

---

Definitions:

Two-Factor Theory

A psychological theory suggesting emotions are based on physiological arousal and cognitive labeling.

Cognitive Appraisal

The process of evaluating a situation in terms of its relevance to one's well-being and determining the appropriate reaction.

Physiological Arousal

Refers to the physical responses of the body, such as increased heart rate and sweating, that accompany emotions and cognitive states.

Emotional Preference

A term indicating an individual's tendency to favor decisions or reactions based on emotions rather than rational analysis.