Standardized coefficients

Overview

If you need to compare the significance of each independent variable well- you can use R to determine the standardized beta coefficients.

"Use of the beta coefficient allows direct comparisons between independent variables to determine which has the most influence on the dependent variable." (Monash Business School, n.d.)

Example

See this exact source code given the step-by-step walk-through video.

Result

Below you can see the coefficients (marked in red) of the statistically significant independent variables (marked in orange).

After performing the calculations for the beta coefficients, you can see that the values are different for each of the individual variables.

References

• Monash Business School on Beta coefficients