Example: tourism industry
Search results with tag "Principal components regression"
Principal Components Regression - NCSS
ncss-wpengine.netdna-ssl.comestimates is less than that for least squares. Mathematically, the estimation formula becomes A =(Z'Z)ā1Z'Y =Dā1Z'Y because of the special nature of principal components. Notice that this is ordinary least squares regression applied to a different set of independent variables.