Linear Regression vs. Multiple Regression Example . Consider an analyst who wishes to establish a relationship between the daily change in a company's stock prices and daily changes in trading volume.

Figure 1: The results of multiple linear regression depend on the correlation of the predictors, as measured here by the Pearson correlation coefficient r (ref. 2). ( a ) Simulated values of ...

10.3.1 Scatterplot matrix. Recall that we use SAS’s scatterplot matrix feature to quickly scan for pairs of explanatory variables that might be colinear. To do this in R we must first make sure we ...

A variance inflation factor (VIF) provides a measure of multicollinearity among the independent variables in a multiple regression model. Detecting multicollinearity is important because while ...