Question: If an independent variable in a multiple linear regression model is an exact linear combination of other independent variable, the model suffers from a problem

If an independent variable in a multiple linear regression model is an exact linear combination of other independent variable, the model suffers from a problem of: Heteroskedasticity Omitted variable bias. Homoscedasticity Perfect collinearity

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related Mathematics Questions!