Question

A researcher is studying the effect of 10 different variables on a critical measure of business performance. In selecting the best set of independent variables to predict the dependent variable, the stepwise regression technique is used. How are variables selected for inclusion in the model?

Answer 1

Highest increase in the multiple R2

Explanation:

Highest increase in the multiple R2

In the stepwise regression technique, variables selected for inclusion in the model are based on Highest increase in the multiple R2.

also, Select the variable that has the highest R-Squared. At each step, select the candidate variable that increases R-Squared the most. Stop adding variables when none of the remaining variables are significant.