Weighted Dependent Variable - Linear Regression
Posted: Mon Apr 10, 2017 7:20 pm
I have a linear model, Fixed Effects where I look at sales for roughly 6,400 different items across 84 months. I have been told that I should run a regression where my observations are "weighted by sales volume or market share to better represent the overall market". My question is how can I weight my dependent variable (sales in units) within a regression based on a weight/scale? Do I need to manipulate the variable itself?
Any advice is greatly appreciated, thanks!
Any advice is greatly appreciated, thanks!