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CHAPTER 14<br />

Building Multiple<br />

Regression Models<br />

LEARNING OBJECTIVES<br />

This chapter presents several advanced topics in multiple regression<br />

analysis, enabling you to:<br />

1. Generalize linear regression models as polynomial regression models<br />

using model transformation and Tukey’s ladder of transformation,<br />

accounting for possible interaction among the independent variables<br />

2. Examine the role of indicator, or dummy, variables as predictors or<br />

independent variables in multiple regression analysis<br />

3. Use all possible regressions, stepwise regression, forward selection, and<br />

backward elimination search procedures to develop regression models<br />

that account for the most variation in the dependent variable and are<br />

parsimonious<br />

4. Recognize when multicollinearity is present, understanding general<br />

techniques for preventing and controlling it<br />

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