IGNOU BECC 110 2025 2026 - Describe the remedial measures for the presence of multicoll

Question

Describe the remedial measures for the presence of multicollinearity in a multiple regression model.

02 Mar 2026

Answer :

Word Count : 229

Multicollinearity occurs in a multiple regression model when two or more explanatory variables are highly correlated, making it difficult to isolate their individual effects on the dependent variable. It inflates the standard errors of the estimated coefficients, leading to unreliable t-tests and wide confidence intervals. To address multicollinearity, several remedial measures can be adopted. One approach is to examine the correlation matrix

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