Regression Analysis – Handling Independent Variables with Positive and Negative Values

least squaresregression

I am very new to statistical analysis. Is it problematic when the predictor variable in a regression analysis can take on negative as well as positive values? I expect that there is a negative correlation between my DV and IV, whereas the IV can take on negative as well as positive values. Does it change the interpretation or other things?

Best Answer

A predictor variable in a regression analysis can be any type, numerical or categorical. Positive or negative values do not matter. Also, the correlation between DV and IV has nothing to do with the modelling. We check only the residuals distribution of the regression model. Any sample data would be helpful to give you more insights.