PSCH 443 Multiple Regression 5 Dummy Coding

Categorical Variables

Variables that represent distinct categories or groups rather than continuous values.

Dummy Coding

A statistical technique used to include categorical variables in regression analyses by assigning binary values (0 or 1) to represent category membership.

Outcome Variable

The variable in a study or analysis that researchers aim to predict or explain.

Reference Category

The baseline category in dummy coding, which the other categories are compared against.

Hierarchical Regression

A type of regression analysis that assesses the impact of a set of variables on an outcome variable while controlling for other variables in steps.

Regression Coefficient

A numerical value that represents the relationship between an independent variable and a dependent variable in a regression analysis, indicating the amount of change in the dependent variable for a one-unit change in the independent variable.

Beta Weight

A standardized coefficient that indicates how many standard deviations a dependent variable will change, per standard deviation increase in an independent variable.

Statistically Significant

A result or effect that is unlikely to have occurred by chance, often determined by a p-value threshold in hypothesis testing.

K minus 1

In dummy coding, this represents the number of dummy variables needed, where K is the number of categories in a categorical variable.

Perceived Fairness

An individual's assessment of how just or equitable they believe a system, such as a tax system, to be.