Question

enjoyCilantro Yes No; No strong opinion Whether or not the respondent enjoys the taste of cilantro

would this variable follow the path

categorical -> nominal -> indicator

or

categorical -> nominal

Can indicator variables take 3 values? or just no (0) / yes (1))

Answer 1

Solution:

Enjoy Cilantro variable would follow the path:

categorical->nominal->indicator

Because In statistics, a categorical variable is a variable that can take on one of a limited, and usually fixed number of possible values, assigning each individual or other unit of observation to a particular group or nominal category on the basis of some qualitative property. Here taste is qualitative property. It would also classify as indicator variable because the indicator variable is indicate absence or presence of some categorical effect that may be expected to shift the outcome.

Indicator variables is dichotomous, quantitative variables, their range of values is small therefore, they can take only two quantitative values.