Splitting a Predictor at the Upper Quarter or Third and the Lower Quarter or Third

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Splitting a predictor at the upper quarter or third and the lower quarter or third

A linear regression of y on x can be approximated by a simple difference: the average values of y corresponding to the highest quarter or third of x, minus the average values of y corresponding to the lowest quarter or third of x. A simple theoretical analysis shows this comparison performs reasonably well, with 80%–90% efficiency compared to the linear regression if the predictor is uniformly ...

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ژورنال

عنوان ژورنال: The American Statistician

سال: 2009

ISSN: 0003-1305,1537-2731

DOI: 10.1198/tast.2009.0001