What is Vif and tolerance

Multicollinearity inflates the variance and type ii error.Multicollinearity was measured by variance inflation factors.Here's the formula for calculating the vif for x 1:The value for vif starts at 1 and has no upper limit.Since vif and tolerance are the inverse of each other (e.g., tolerance = 1/vif), if one.

Variance inflation factor (vif) is used to detect the severity of multicollinearity in the ordinary least square (ols) regression analysis.Before giving a tutorial, we need to discuss the multicollinearity test briefly.The variance inflation factor (vif) and tolerance are two closely related statistics for diagnosing collinearity in multiple regression.A general rule of thumb for interpreting vifs is as follows:Statisticians refer to this type of correlation as multicollinearity.

Variance inflation factors (vifs) measure the correlation among independent variables in least squares regression models.This assumption test was conducted to obtain the best linear unbiased estimator.In other words, r 2 comes from the following linear regression model:The reciprocal of the tolerance is known as the variance inflation factor (vif).