Econometrics

How to Solve Multicollinearity in Multiple Linear Regression with OLS Method

Econometrics / By Kanda Data / August 24, 2022

Multiple linear regression equations must fulfill the required assumptions to obtain the best linear unbiased estimator. Several assumptions in linear regression using the ordinary least square (OLS) method must be met, one of which is non-multicollinearity.

How to Use Dummy Variables in Linear Regression with Ordinary Least Square Method

Econometrics / By Kanda Data / August 14, 2022

Many researchers have chosen linear regression using the ordinary least square (OLS) method because it can obtain the best linear unbiased estimator. To get the best linear unbiased estimator, researchers need to test the assumptions required for linear regression using the OLS method.