OptinMon 30 - Four Critical Steps in Building Linear Regression Models

Outliers: To Drop or Not to Drop

September 17th, 2008 by

Should you drop outliers? Outliers are one of those statistical issues that everyone knows about, but most people aren’t sure how to deal with.  Most parametric statistics, like means, standard deviations, and correlations, and every statistic based on these, are highly sensitive to outliers.

And since the assumptions of common statistical procedures, like linear regression and ANOVA, are also based on these statistics, outliers can really mess up your analysis.

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Despite all this, as much as you’d like to, it is NOT acceptable to

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