Explain why an R2 statistic can only get bigger, but an adjusted R2 statistic can decrease, when you add predictors to a multiple regression analysis.
What will be an ideal response?
Ans: The adjusted R2 in a multiple regression analysis takes into account the quantity and quality of the predictor variables in the analysis. The R2 in a multiple regression analysis can only go up as predictor variables are added; the adjusted R2 can decrease if we add too many predictor variables and those predictor variables are of poor quality.
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