Abstract
The description of the collinearity diagnostics as presented in Belsley, Kuh, and Welsch's, Regression Diagnostics: Identifying Influential Data and Sources of Collinearity, is principally formal, leaving it to the user to implement the diagnostics and learn to digest and interpret the diagnostic results. This paper is designed to overcome this shortcoming by describing the different graphical displays that can be used to present the diagnostic information and, more importantly, by providing the detailed guidance needed to promote the beginning user into an experienced diagnostician and to aid those who wish to incorporate or automate the collinearity diagnostics into a guided-computer environment.
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This paper was funded in part through a guest scholarship at the Rheinisch-Westfälisches Institut für Wirtschaftsforschung, Essen, West Germany, and in part through NSF Grant SES-8420614.
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Belsley, D.A. A Guide to using the collinearity diagnostics. Computer Science in Economics and Management 4, 33–50 (1991). https://doi.org/10.1007/BF00426854
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DOI: https://doi.org/10.1007/BF00426854