A researcher uses multiple regression to predict a client\'s sales volume based on gross domestic product, personal income, disposable personal income, unemployment, and the consumer price index. What problems might be anticipated with this multiple regression model? Solution You will have the problem of multicollinearity , The factors GDP CPI, unemployment are highly correlated among themselves and so are the variables personal income and disposable income.From this regression its going to be almost impossible to determine the actual causes of client\'s sales volumes. Overall regression model will be significant, but individual coefficients will be insignificant. It will give erroneous forecasts..