Statistics: Informed Decisions Using Data (4th Edition)

Published by Pearson
ISBN 10: 0321757270
ISBN 13: 978-0-32175-727-2

Chapter 14 - Review - Review Exercises - Page 731: 7a

Answer

Given that the correlation between the Calories and Protein and Calories and Carbohydrates are greater than 0.7, there is a reason to be concerned about multicollinearity.

Work Step by Step

In MINITAB, enter the calories values in C1, the protein values in C2, the fat values in C3 and the carbohydrates values in C4. Select Stat -> Basic Statistics -> Correlation In variables enter C1 C2 C3 C4. You may deselect "Display p-values" Click OK. Since more than one correlation between the explanatory variables is greater than 0.7, there is evidence that multicollinearity exists.
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