Question

You may believe that the gender of a salesperson influences the sales of cars. The best way to incorporate this predictor is by Group of answer choices

a. None of these answers are correct.
b. Using a single dummy variable in a regression model
c. Running two separate regressions, one for females and one for males.
d. Using two dummy variables in a regression model

Answer 1

Answer: The correct option is (b)

Using a single dummy variable in a regression model

Explanation:

A regression model is a model that measures the relationship between a dependent variable and one or more independent variables. In this question the dependent variable y is the sales of the car and the independent variable is the choice of the gender of a salesperson, Which is single dummy variable.