tag:blogger.com,1999:blog-2198942534740642384.post4152882233807443428..comments2023-10-24T03:16:41.009-07:00Comments on Econometrics Beat: Dave Giles' Blog: MicronumerosityDave Gileshttp://www.blogger.com/profile/05389606956062019445noreply@blogger.comBlogger9125tag:blogger.com,1999:blog-2198942534740642384.post-22723273753293047692013-06-20T21:43:24.835-07:002013-06-20T21:43:24.835-07:00I didn't say "no"; I said why would ...I didn't say "no"; I said why would you ASSUME that they are collinear. Of course, if the variable are highly correlated, multicollinearity will occur. That's just the definition of multicollinearity! What more can I say?Dave Gileshttps://www.blogger.com/profile/05389606956062019445noreply@blogger.comtag:blogger.com,1999:blog-2198942534740642384.post-76362660991102028862013-06-20T21:38:31.871-07:002013-06-20T21:38:31.871-07:00The question that was aked to me was: is the follo...The question that was aked to me was: is the following statement correct "in multiple regession, if two or more explanatory variables are highly correlated with each other, multicollinearity will occur" explain your reasoning, I assumed that this statement would be correct? But now that you have said no I'm confused and I don't have great sources of information to guide me<br />Thanks for your time!Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-2198942534740642384.post-3094124163682095382013-06-20T21:31:41.331-07:002013-06-20T21:31:41.331-07:00Sorry - you've lost me! Why would we assume th...Sorry - you've lost me! Why would we assume that the variables are collinear??Dave Gileshttps://www.blogger.com/profile/05389606956062019445noreply@blogger.comtag:blogger.com,1999:blog-2198942534740642384.post-12126871048512540112013-06-20T21:24:45.023-07:002013-06-20T21:24:45.023-07:00Why is this not the case ?Why is this not the case ?Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-2198942534740642384.post-49662593799950143882013-06-20T21:21:46.331-07:002013-06-20T21:21:46.331-07:00Assumption????? No!Assumption????? No!Dave Gileshttps://www.blogger.com/profile/05389606956062019445noreply@blogger.comtag:blogger.com,1999:blog-2198942534740642384.post-51166837202395911922013-06-20T21:20:46.944-07:002013-06-20T21:20:46.944-07:00in multiple regession, if two or more explanatory ...in multiple regession, if two or more explanatory variables are highly correlated with each other, multicollinearity will occur. Is this the standard assumption ?Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-2198942534740642384.post-61668220726386559602011-10-06T09:16:41.818-07:002011-10-06T09:16:41.818-07:00Sinclair, Frances: Thanks for the comments!Sinclair, Frances: Thanks for the comments!Dave Gileshttps://www.blogger.com/profile/05389606956062019445noreply@blogger.comtag:blogger.com,1999:blog-2198942534740642384.post-60634163639528365372011-10-05T16:50:48.253-07:002011-10-05T16:50:48.253-07:00Really enjoyed this post, thank you. There can som...Really enjoyed this post, thank you. There can sometimes be a bit of a disconnect between the contents of stats/econometrics courses and the nitty gritty of empirical research...Frances Woolleyhttps://www.blogger.com/profile/04289318268301647625noreply@blogger.comtag:blogger.com,1999:blog-2198942534740642384.post-17460145981230016882011-09-22T14:20:58.185-07:002011-09-22T14:20:58.185-07:00I think the reason multicollinearity is emphasised...I think the reason multicollinearity is emphasised so much is because its easy to understand the problem - so people talk about it lot. (Makes people look knowledgeable when really they're not).Sinclair Davidsonhttp://catallaxyfiles.comnoreply@blogger.com