... (which is significant). Because these redundant variables are not statistically significant and make it difficult to estimate those that are, we remove them from the model. Remove variables one at a time to make sure that you don’t omit a useful variable that was disguised by collinearity. The table shows a summary of the simplified regression model with three explanatory variables.
The collinear explanatory variables contributed little to the explained variation: R2 falls without these (from 0.7558 to 0.7521), but the adjusted R2 grows a bit (from 0.7415 to 0.7450). The remaining estimated slopes are statistically significant and more precisely ...
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