Using this dataset, I examined the relationships among health care costs, alcohol consumption, cigarette use, and exercise. The correlations show moderate relationships ...
Using this dataset, I examined the relationships among health care costs, alcohol consumption, cigarette use, and exercise. The correlations show moderate relationships between variables, with no extremely high correlations (all r < .50), suggesting that multicollinearity is unlikely to be a problem. For example, alcohol consumption and cigarette use are moderately correlated (r = .424), but this is below the threshold that would raise concern. Additionally, exercise is negatively correlated with the other variables, but not strongly enough to violate assumptions. Overall, based on these results, the data appear suitable for regression analysis, with no serious multicollinearity issues detected.
