Question: How do you interpret the coefficient of a dummy variable?Why you only need to create k-1dummy variables for a variable with k categories?please explain.

How do you interpret the coefficient of a dummy variable?Why you only need to create k-1dummy variables for a variable with k categories?please explain.

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How do you interpret the coefficient of a dummy variable? Why do you only need to create k-1 dummy variables for a variable with k categories?

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