• 토. 10월 24th, 2020

analysis of variance inflation factors

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Byadmin

9월 3, 2020

Regression analysis was used to explore the relationships between the demographic characteristics of the participants(age, gender, education, marital status, casino employment, and homeownership), factors of perceived social and economic impacts of casino development(positive economic impact, positive social impact, negative economic impact, and negative social impact) and the willingness of support for the casino expansion and development, measured by an 5-item Likert scale.

Six demographic characteristics and four perceived impacts for the casino expansion were investigated as potential variables affecting residents whether they are willing to support for the additional development of Foxwoods resort casino. Single item measures were used for independent variables by averaging the items scores for each construct. Thus, the independent variables and dependent variable were treated as continuous variables.

The analysis of variance inflation factors confirmed that multicollinearity among the tested variables did not exist. Variance inflation factors are a scaled version of the multiple-correlation coefficients between one variable and the remainder of the independent variables. Because independent variables was also supported by the obtained variance inflation factor were below 10 which is proposed cut off value(Kutner, 2004).

As table 4 shows, none of demographic variables influence the support for the additional development. Casino employment and homeownership were expected to have significance to support the project, but the ratio of respondents who were working in the casino were small and regardless of homeownership respondents showed similar opinions towards casino development.

However, negative social and positive economic impact were significantly affected the support for the further development at the 0.1 level. This means that respondents who are agreed with the fact the casino development have brought economic benefits to the region tend to support the further development. On the other hand, respondents who were conscious about negative social impact such as drug problem, gambling addicts, congestions, increased crime rates and so on, would not willing to support the further development.

Negative economic impact and positive social impact didn’t show any significance. It is obvious that positive economic impact is the most important for the residents to support casino development after all.

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