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21 August, 15:44

Multiple regression analysis should be performed when a single independent variable influences multiple dependent variables.

True or False?

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  1. 21 August, 18:30
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    False

    Step-by-step explanation:

    Multiple regression analysis is the opposite of the situation mentioned in the statement. Multiple regression analysis is performed when there is one dependent variables and independent variables are more than one. Multiple regression analysis is performed to asses the effect of independent variables on the dependent variable. The structure of multiple regression equation is

    y=bo+b1x1+b2x2+b3x3 + ... + bnxn+e

    For example price of house depends on the size of house, age of the house and number of bedrooms. There are some other variables that contribute to price of house but we are considering only three variables that are size of house, age of house and number of bedrooms. These three variables are independent variable while house price is dependent variable. The multiple regression equation for this scenario will be

    y=b0+b1x1+b2x2+b3x3+e

    House price=b0+b1*sizeof house + b2*age of house+b3*number of bedrooms+e

    Hence multiple regression analysis should be performed when more than one independent variable influence the dependent variable.
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