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Re: st: Dummies & Correlation Analysis


From   Patricia Sourdin <[email protected]>
To   [email protected]
Subject   Re: st: Dummies & Correlation Analysis
Date   Mon, 18 Apr 2005 10:11:38 +0930

Hi there,
try
-findit polychoric-
Once installed there is a web link to pages on polychoric correlations.
It requires Stata 8.2.
Hope this helps.
Patricia

Quoting "Dr. Stephen Owusu-Ansah" <[email protected]>:

> Hi:
>
> I have econometric/statistical theory questions about dummy
> variables and correlation analysis:
>
> 1. Is there any theory that prohibit one from undertaking a
> correlation analysis (i.e., correlation matrix) with either
> with Person or Spearman rank correlation test on variables,
> which are all dummies?
>
> 2. If there is no prohibition, theory wise, can the bivariate
> correlation coeficients for the dummy variables be interpreted
> in the same way as one would do with continuous variables?
>
> Thanks for your usual cooperation.
>
> Regards,
>
> Stephen
>
>


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