Library of Methods and Models > Descriptive Statistics and Summary Statistics > Performance Criteria > Adjusted Determination Coefficient
Adjusted determination coefficient (R2adj) is the determination coefficient adjusted for the number of factors and not sensitive to the number of regressors. R2adj is calculated by the formula:
Where:
R2. Determination coefficient.
For R2adj calculated by this formula, the relation 0 ≤ R2adj ≤ 1 is satisfied only for the model with an estimated constant.
Uncentered adjusted determination coefficient (
) takes this condition into account and is calculated depending on the constant:
| The constant value is estimated | The constant is not used | The constant value is defined manually |
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 |
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Where:
. Determination coefficient (uncentered).
k. The number of factors included into the model.
N. Number of observations.
When k>1 R2adj ≤ R2.
The preferred model is a model with the largest criterion value. Therefore, when comparing multiple regression models, it is advisable to take into account R2adj value.
See also:
Library of Methods and Models | Determination Coefficient | ISummaryStatistics.AdjR2 | ISummaryStatistics.AdjR2_2
