Advanced Search
MyIDEAS: Login

An Extensive Study on the Disturbances Generated by Collinearity in a Linear Regression Model with Three Explanatory Variables

Contents:

Author Info

  • FLORIN MARIUS PAVELESCU

    ()
    (Institute of National Economy, Romanian Academy)

Abstract

In econometric models, linear regressions with three explanatory variables are widely used. As examples can be cited: Cobb-Douglas production function with three inputs (capital, labour and disembodied technical change), Kmenta function used for approximation of CES production function parameters, error-correction models, etc. In case of multiple linear regressions, estimated parameters values and some statistical tests are influenced by collinearity between explanatory variables. In fact, collinearity acts as a noise which distorts the signal (proper parameter values). This influence is emphasized by the coefficients of alignment to collinearity hazard values. The respective coefficients have some similarities with the signal to noise ratio. Consequently, it may be used when the type of collinearity is determined. For these reasons, the main purpose of this paper is to identify all the modeling factors and quantify their impact on the above-mentioned indicator values in the context of linear regression with three explanatory variables.

Download Info

If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
File URL: http://www.revecon.ro/articles/2010-2/2010-2-4.pdf
Download Restriction: no

Bibliographic Info

Article provided by Institute of National Economy in its journal Romanian Journal of Economics.

Volume (Year): 31 (2010(XX))
Issue (Month): 2(40) (December)
Pages: 65-93

as in new window
Handle: RePEc:ine:journl:v:2:y:2010:i:40:p:65-93

Contact details of provider:
Postal: Casa Academiei, Calea 13 Septembrie nr.13, sector 5, Bucure┼čti 761172
Phone: 004 021 318.24.67
Fax: 004 021 318.24.67
Email:
Web page: http://www.ien.ro/
More information through EDIRC

Related research

Keywords: types of collinearity; coefficient of mediated correlation; rank of explanatory variable; order of attractor of collinearity; mediated collinearity; anticollinearity;

Find related papers by JEL classification:

References

References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
as in new window
  1. Pavelescu, Florin Marius, 2009. "A Review Of Student Test Properties In Condition Of Multifactorial Linear Regression," Journal for Economic Forecasting, Institute for Economic Forecasting, vol. 6(1), pages 63-75, March.
Full references (including those not matched with items on IDEAS)

Citations

Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
as in new window

Cited by:
  1. Florin-Marius PAVELESCU, 2011. "Some aspects of the translog production function estimation," Romanian Journal of Economics, Institute of National Economy, vol. 32(1(41)), pages 131-150, June.
  2. Adenuga, A.H. & Muhammad-Lawal, A. & Rotimi, O.A., 2013. "Economics and Technical Efficiency of Dry Season Tomato Production in Selected Areas in Kwara State, Nigeria," AGRIS on-line Papers in Economics and Informatics, Czech University of Life Sciences Prague, Faculty of Economics and Management, vol. 5(1), March.

Lists

This item is not listed on Wikipedia, on a reading list or among the top items on IDEAS.

Statistics

Access and download statistics

Corrections

When requesting a correction, please mention this item's handle: RePEc:ine:journl:v:2:y:2010:i:40:p:65-93. See general information about how to correct material in RePEc.

For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Valentina Vasile).

If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

If references are entirely missing, you can add them using this form.

If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.

If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.

Please note that corrections may take a couple of weeks to filter through the various RePEc services.