If the Number of Dummy Variables Representing a Qualitative Variable

question 74

True/False

If the number of dummy variables representing a qualitative variable equals the number of categories of this variable, one deals with the problem of perfect multicollinearity.

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Definitions:

Ozone Hole

A region of significantly depleted ozone in the Earth's stratosphere, primarily over the Antarctic, due to the release of chemical pollutants.

Thermal Inversion

A meteorological condition in which a layer of warm air traps pollution and colder air beneath it, possibly leading to smog and health issues.

Pollution Problems

Environmental issues arising from contaminants in the air, water, and soil, adversely affecting life and the planet's ecosystems.

Troposphere

The lowest layer of Earth's atmosphere, extending from the surface to about 8 to 15 kilometers (5 to 9 miles) high, where nearly all weather occurs.