Question: Why is it acceptable to use a dichotomous predictor variable in a regression when it is not usually acceptable to use a categorical variable that

Why is it acceptable to use a dichotomous predictor variable in a regression when it is not usually acceptable to use a categorical variable that has more than two values as a predictor in regression?

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We cannot generally assume that categorical variables with more than 3 scores such as Political Party or level of anxiety are necessarily linearly related to scores on a quantitative outcome variable Scores on a dichotomous predictor variable can only be linearly related to scores on a quantitative outcome variable therefore a dichotomous categorical may be used as a predictor in correlation and regression but a multiple group categorical variable ... View full answer

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