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The variables resulting from the recoding categorical variables with more than two categories into the sequence of binary variables. Marital status, for instance, if originally labeled 1 for the married, 2 for single and 3 for divorced, widowed or separated, can be rede?ned in the terms of two variables which are given as follows
Variable 1: 1 if single, 0 otherwise;
Variable 2: 1 if the divorced, widowed or separated, 0 otherwise;
For the married person both the new variables would be zero. In common the categorical variable with k categories would be recorded in the terms of k 1 dummy variables. Such recoding is made in use before polychotomous variables are used as the explanatory variables in a regression analysis to avoid the unreasonable supposition with the original numerical codes for the categories, that is the values 1; 2; ... ; k, correspond to the interval scale. This procedure is generally known as dummy coding
The functions of the data and the parameters of interest which can be brought in use to conduct inference about the parameters when full distribution of the observations is unknown
Difference b/w historigram and histogram
Mixture experiment is an experiment in which the two or more ingredients are blended together to form an end product. The measurements are taken on the several blends of the ingre
Quantile regression is an extension of the classical least squares from estimation of the conditional mean models to the estimation of the variety of models for many conditional q
The division of a sample of observations into several classes, together with the number of observations in each of them. It acts as a useful summary of the main features of the da
Johnson-Neyman technique: The technique which can be used in the situations where analysis of the covariance is not valid because of the heterogeneity of slopes. With this method
Procedures for estimating the probability distributions without supposing any particular functional form. Constructing the histogram is perhaps the easiest example of such type of
Law of likelihood : Within framework of the statistical model, a particular set of data supports one statistical hypothesis or assumption better than another if the likelihood of t
Models which make use of the smoothing techniques such as locally weighted regression to identify and represent the possible non-linear relationships between the explanatory and th
Ask quesoil company is considering whether or not to bid for an offshore drilling contract. If they bid, the value would be $600m with a 65% chance of gaining the contract. The com
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