RE: st: FW: Marginal effects for the two-part model

["Michael Palmer" <Michael.Palmer@anu.edu.au>]

Thanks Maarten, 

I also thought this was the case (independent me) until I read a few
papers that argue otherwise.

See for example, http://repec.rwi-essen.de/files/REP_09_138.pdf. 

Cheers, 

Michael  


Michael Palmer
PhD Candidate 
National Centre for Epidemiology and Population Health 
The Australian National University 
Ph. 6125 0538
M. 0437 867 940

-----Original Message-----
From: owner-statalist@hsphsun2.harvard.edu
[mailto:owner-statalist@hsphsun2.harvard.edu] On Behalf Of Maarten buis
Sent: Tuesday, 1 February 2011 6:59 PM
To: statalist@hsphsun2.harvard.edu
Subject: RE: st: FW: Marginal effects for the two-part model

--- On Tue, 1/2/11, Michael Palmer wrote:
> The first part of the model is logit model for seeking hospital care 
> followed by an ols model for the cost of care for persons that sought 
> care.
> 
> Simplified code is: 
> 
> Logit care $xvar, robust
> 
> Reg cost $xvar if care==1
> 
> I am wanting to compute the conditional marginal effects but do not 
> know how to do this.

In this model the cost is independent of seeking care, so the marginal
effects of $xvar on the cost conditional on seeking care are just your
regression coefficients (the output you got from -regress-).

Typically, when estimating both parts you would want to allow for
correlation in the error terms across your two steps. I tend to think of
those correlations as variables that influence both the probability of
seeking care and the cost and are not in $xvar. If that is what you
want, then you can take a look at -help heckman-.

Hope this helps,
Maarten

--------------------------
Maarten L. Buis
Institut fuer Soziologie
Universitaet Tuebingen
Wilhelmstrasse 36
72074 Tuebingen
Germany

http://www.maartenbuis.nl
--------------------------


      

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