Tag: normality

  • What is the importance of normality and heteroscedasticity?

    What is the importance of normality and heteroscedasticity?

    After previously discussing linearity and multicollinearity in Classical Assumption Test Part 1, this time I will discuss the normality test, heteroscedasticity test, and autocorrelation test, which are part of the classical assumption test. Before discussing the three tests further, I would like to explain again the importance of the classical assumption test. The classical assumption…