On 2 Feabh 2010, at 15:09, muhammed abdul khalid wrote:
I have a household income survey data ( 38,000 observations), and my
problem is doing a multiple regression on saving ( independent var) to
ethnicity/strata/employment
etc( dependent var).
The problem is this : 70% of my observation for the value of saving is
zero.
Then this sounds like a two-stage model. The first model predicts
whether the family saves or not, the second predicts how much they
save, conditional on their saving at all. I would be wary of
predicting everything in a single model - the determinants of how much
may not be the same as the determinants of whether.
Ronan Conroy
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Royal College of Surgeons in Ireland
Epidemiology Department,
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http://rcsi.academia.edu/RonanConroy
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