If the global utility test leads to the conclusion that the model is useful (Rej
ID: 3177035 • Letter: I
Question
If the global utility test leads to the conclusion that the model is useful (Reject H0; at least one predictor is significantly different from 0), can you conclude that the model is the best predictor for the dependent variable y? Can you conclude that all of the terms in the model are important for predicting y?
4. If the global utility test leads to the conclusion that the model is useful (Reject Ho; at least one predictor is significantly different from 0, can you conclude that the model is the best predictor for the dependent variable y? Can you conclude that all of the terms in the model are important for predicting y?Explanation / Answer
Result:
If the global utility test leads to the conclusion that the model is useful (Reject H0; at least one predictor is significantly different from 0), can you conclude that the model is the best predictor for the dependent variable y? Can you conclude that all of the terms in the model are important for predicting y?
We can not conclude that the model is the best predictor for the dependent variable y. This may be one of many models that predicting y. Best model may be chosen by comparing all significant models.
We reject Ho of at least one predictor is significantly different from 0, this means not all the predictors are significant. There fore it is not possible to conclude that all of the terms in the model are important for predicting y.