Detection of Near-Nulticollinearity through Centered and Noncentered Regression Salmerón Gómez, Román García García, Catalina García Pérez, José Centered model Noncentered model Intercept Essential multicollinearity Nonessential multicollinearity This paper analyzes the diagnostic of near-multicollinearity in a multiple linear regression from auxiliary centered (with intercept) and noncentered (without intercept) regressions. From these auxiliary regressions, the centered and noncentered variance inflation factors (VIFs) are calculated. An expression is also presented that relates both of them. In addition, this paper analyzes why the VIF is not able to detect the relation between the intercept and the rest of the independent variables of an econometric model. At the same time, an analysis is also provided to determine how the auxiliary regression applied to calculate the VIF can be useful to detect this kind of multicollinearity. 2020-09-08T10:04:49Z 2020-09-08T10:04:49Z 2020-06-07 info:eu-repo/semantics/article Gómez, R. S., García, C. G., & Pérez, J. G. (2020). Detection of Near-Nulticollinearity through Centered and Noncentered Regression. Mathematics, 8(6). [doi: 10.3390/math8060931] http://hdl.handle.net/10481/63327 10.3390/math8060931 eng http://creativecommons.org/licenses/by/3.0/es/ info:eu-repo/semantics/openAccess Atribución 3.0 España MDPI