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Criterion variable is a name used to describe the dependent variable in a variety of statistical modeling contexts, including multiple regression, discriminant analysis, and canonical correlation. The goal of much statistical modeling is to investigate the relationship between a (set of) criterion variable(s) and a set of predictor variables. The outcomes of such analyses are myriad and include as possibilities the development of model formulas, prediction rules, and classification rules. Criterion variables are also known under a number of other names, such as dependent variable, response variable, predictand, and Y. Similarly, predictor variables are often referred to using names such as independent variable, explanatory variable, and X. While such names are suggestive of a cause-and-effect relationship between the predictors and the criterion variable(s), great care should be taken in assessing causality. In general, statistical modeling alone does not establish a causal relationship between the variables but rather reveals the existence or otherwise of an observed association, where changes in the predictors are concomitant, whether causally or not, with changes in the criterion variable(s). The determination of causation typically requires further investigation, ruling out the involvement of confounding variables (other variables that affect both explanatory and criterion variables, leading to a significant association between them), and, often, scientifically explaining the process that gives rise to the causation. Causation can be particularly difficult to assess in the context of observational studies (experiments in which both explanatory and criterion variables are observed). In designed experiments, where, for example, the values of the explanatory variables might be fixed at particular, prechosen levels, it may be possible to assess causation more effectively as the research design more readily permits the adjustment of certain explanatory variables in isolation from the others, allowing a clearer judgment to be made about the nature of the relationship between the response and predictors. This entry's focus is on types of criterion variables and analysis involving criterion variables.

Types of Criterion Variables

Criterion variables can be of several types, depending on the nature of the analysis being attempted. In many cases, the criterion variable is a measurement on a continuous or interval scale. This case is typical in observational studies, in which the criterion variable is often the variable of most interest among a large group of measured variables that might be used as predictors. In other cases, the criterion variable may be discrete, either ordinal (ordered categories) or nominal (unordered categories). A particularly important case is that of a binary (0/1) criterion variable, for which a common modeling choice is the use of logistic regression to predict the probability of each of the two possible outcomes on the basis of the values of the explanatory variables. Similarly, a categorical criterion variable requires particular modeling choices, such as multinomial logistic regression, to accommodate the form of the response variable. Increasingly, flexible nonparametric methods such as classification trees are being used to deal with categorical or binary responses, the strength of such methods being their ability to effectively model the data without the need for restrictive classical assumptions such as normality.

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