# Interpreting Coefficients

Remember practical vs statistical significance!

# Interpreting Coefficients

Interpreting Coefficients

Interpreting regression coefficients substantively involves understanding the relationship between the independent variable and the dependent variable in terms of their real-world meaning.

As with our other tests, the relationship can be characterized by its significance, direction, and magnitude.Â

Significance: How confident are we that his relationship can be generalized to the population?

Direction: Does changes to the independent variable lead to an increase or decrease in the dependent variable.

Magnitude: To what extent do we expect Y to change, given a change in X.

Reminder: We are always predicting change in the dependent variable!