In: Economics
In general, what are some problems with using regression to measure causal effects?
What is regression analysis?
In statistical modeling, regression analysis means a set of statistical processes for evaluating the relationships between a dependent variable (often called the 'outcome variable') and one or more independent variables (often called 'predictors'or 'features').
What are the problems that is faced during regression analysis?
The coefficient estimates can vary wildly based on which other independent variables are in the model. The coefficients become very sensitive to even small changes in the model.