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The Use of Guided Reformulations When Collinearities are Present in Nonlinear Regression

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  • Jeffrey S. Simonoff
  • Chih‐Ling Tsai

Abstract

Multicollinearity is as serious a problem in nonlinear regression as it is in linear regression, with the vectors of partial derivatives taking the place of the columns of the design matrix. The solution to this problem is to reformulate the model, but this is often difficult. In this paper a guided reformulation procedure is developed based on the representation of collinearity in the model. Several examples are treated, and it is shown that the reformulation model generally has reduced collinearity and curvature with little loss of fit. A discussion of the relationship of collinearity to curvature for a certain class of nonlinear models is provided. Potential difficulties with the procedure are also discussed.

Suggested Citation

  • Jeffrey S. Simonoff & Chih‐Ling Tsai, 1989. "The Use of Guided Reformulations When Collinearities are Present in Nonlinear Regression," Journal of the Royal Statistical Society Series C, Royal Statistical Society, vol. 38(1), pages 115-126, March.
  • Handle: RePEc:bla:jorssc:v:38:y:1989:i:1:p:115-126
    DOI: 10.2307/2347686
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