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Re: st: interpretation of interaction terms
From
Shehzad Ali <[email protected]>
To
[email protected]
Subject
Re: st: interpretation of interaction terms
Date
15 Dec 2008 14:09:27 +0000
Thanks, Dave, for your reply. My question is about interaction of
log-transformed and untransformed variables (continuous or dummy). The
links suggested don't discuss interpretation of interactions of transformed
variables.
Friedrich: This is not a homework/exam question :) I am running an analysis
where income variable in log-transformed and is interacted with programme
membership variable (dummy) and regressed on log-transformed healthcare
expenditure variable. There is also interactions between log-transformed
income and level of education (untransformed continuous) variables and also
between two dummy variables. These are all regressed on log-transformed
dependent variable.
Thank you,
Shehzad
On Dec 15 2008, David Airey wrote:
See these pages:
http://www.ats.ucla.edu/stat/stata/webbooks/reg/default.htm
http://www.ats.ucla.edu/stat/stata/seminars/stata_vibl/default.htm
-Dave
On Dec 14, 2008, at 7:31 PM, Shehzad Ali wrote:
Hi,
Could someone please help me interpret the following:
1. Coefficient on an interaction term for a dummy and log-
transformed variable in an OLS model when the dependent variable is
in natural units or is also log-transformed
2. Coefficient on an interaction term for an untransformed
continuous and log-transformed variable in an OLS model when the
dependent variable is in natural units or is also log-transformed
3. Coefficient on an interaction term between a dummy and log-
transformed variable in a probit regression
Thank you,
Shehzad
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