## Categorical Variables

The Problem with Dummies The Index Variable Approach More Categories Even More Categories Notes of Caution These are code snippets and notes for the fifth chapter, The Many Variables & The Spurious Waffles, section 2, of the book Statistical Rethinking (version 2) by Richard McElreath. In this section, we go through different ways how to add categorical variables to our models. The Problem with Dummies In the simplest case we only have two categories, e. »