Caution Must Be Exercised in Using Regression Models for Prediction

question 1

Multiple Choice

Caution must be exercised in using regression models for prediction when:

• A) the value of the independent variable lies inside the range of observations from which the model was estimated
• B) the value of the independent variable lies outside the range of observations from which the model was estimated
• C) diminishing returns are present
• D) the existence of saturation levels are present
• E) none of the above

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Definitions:

Exhaustion

A state of extreme physical or mental fatigue, often resulting from overwork or stress.

Resistance

Opposition faced when encountering a force, difficulty, or the act of refusing to comply with something or someone.

Alarm Reaction

The initial stage in the body's response to stress, involving the immediate activation of the sympathetic nervous system and the release of stress hormones.

General Adaptation Syndrome

A three-stage response model (alarm, resistance, exhaustion) describing the body's short-term and long-term reactions to stress.