run the regressions

[Tamimami]

Hello everyone,
I would like to know whether it is possible to run OLS regression with dummy variables in excel?
Thanks in advance))

[MrShorty]

Assuming OLS stands for Ordinary Least Squares (http://en.wikipedia.org/wiki/Ordinary_least_squares ) and your idea of a dummy variable is the same as described here (http://en.wikipedia.org/wiki/Dummy_v...8statistics%29 ), my short but useless answer is -- Yes, it is possible to run such a regression in Excel.

Of course, your next question will be how to do it. Specific instructions will require some idea of the data you want to regress, the desired regression model, and so on. As far as Excel goes, I would first suggest you become familiar with the LINEST() function (http://office.microsoft.com/en-us/ex...in=HA010277524 ) as most linear least squares regressions will utilize this function in some way.

[Tamimami]

Thank you MrShorty