Statistical Modeling: Variable Transformation
- 1 minOverview:
A few concerns about variable transformation in statistical modeling precess.
Independent Variable:
- There is no assumption about normality on independent variable.
- Sometimes they may be transformed, not for the sake of normality, but for making the relationship with the Y variable more clear, which may help improve the predictive ability of the the model.
1. Standardizing
- When independent variables are very different scales, centering and scaling can help reduce multicolinearity problems.
2. Skewness
- It is useful, however, to understand the distribution of predictor variables to find influential outliers or concentrated values.
Dependent Variable
Reference
http://fmwww.bc.edu/repec/bocode/t/transint.html
Answer: The Analysis Factor
Answer: Research Gate
Zhijian Liu
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