The Variance Inflation Factor Can Be Used to Reduce Multicollinearity

question 70

Multiple Choice

The variance inflation factor can be used to reduce multicollinearity by _________.

• A) Eliminating variables for a multiple regression model
• B) Decreasing homoscedasticity
• C) Evaluating the distribution of residuals
• D) Testing the null hypothesis that all regression coefficients equal zero

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Definitions:

Island Chains

Island chains are series of islands formed from similar geological processes, such as volcanic activity, and are often found stretching across regions of the ocean.

Back-arc Seafloor Spreading

The process of seafloor spreading occurring behind an oceanic trench associated with subduction zones, leading to the formation of new oceanic crust.

Sea of Japan

A marginal sea located between the islands of Japan, the Russian Far East, and the Korean Peninsula.

Deep Basin

A large depression on the earth's surface, often below sea level, characterized by significant depths and possibly housing sedimentary formations or resources.