# Schweser's on Multicolinearity

Hi Everybody,

This Schweser’s seems a real nest of incongruences, please could you help me clarify it.

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A variable is regressed against three other variables, x, y, and z. Which of the following would NOT be an indication of multicollinearity? X is closely related to:

A) 3y + 2z. B) 3. C) y2.

If x is related to y2, the relationship between x and y is not linear, so multicollinearity does not exist. If x is equal to a constant (3), it will be correlated with the intercept term.

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The intercept term is not an independent variable and the explanation given is in contradiction with the “closely related”. I mean the independent variable could variate around 3.

And also are we sure of the: “If x is related to y2, the relationship between x and y is not linear, so multicollinearity does not exist”?? Seems a bit wide and unprovable, I am sure there are cases (need a mathematician on this one :))

What do you think?

Thank you,

Any up on this one?

Have a good one,