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Re: st: MIXLOGIT: marginal effects


From   Richard Williams <[email protected]>
To   [email protected], [email protected]
Subject   Re: st: MIXLOGIT: marginal effects
Date   Mon, 06 Feb 2012 10:23:11 -0500

At 09:03 AM 2/6/2012, Arne Risa Hole wrote:
Thanks Maarten. Just a small clarification: -mixlogit- allows for
multinomial outcomes while -xtmelogit- is for binary outcomes only so
the two are not substitutes in general. Another difference is that
-mixlogit- uses simulation to approximate the likelihood function,
while -xtmelogit- uses quadrature. For more information about
-mixlogit- see <http://www.stata-journal.com/article.html?article=st0133>.

I disagree when it comes to marginal effects: I personally find them
much easier to interpret than odds-ratios. In the end the choice will
depend on your discipline and personal preference.

Arne

My bias is the same as Arne's. But, I think it is also often a good idea to estimate MERs (Marginal Effects at Representative values), e.g. estimate the marginal effect of race at different values of income or age. I think this gives you results that are more intuitively meaningful than the original coefficients while at the same time reflecting the nonlinearity of the relationships. I give an example on slides 31-34 of http://www.nd.edu/~rwilliam/stats/Margins01.pdf .


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Richard Williams, Notre Dame Dept of Sociology
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