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Re: st: xtlogit, margins


From   Austin Nichols <[email protected]>
To   [email protected]
Subject   Re: st: xtlogit, margins
Date   Mon, 5 Nov 2012 16:28:57 -0500

Seliger Florian <[email protected]> and Maarten Buis <[email protected]>:

I disagree that "standard econometric courses don't talk about odds ratios"
and I daresay every econometrics book talks about odds ratios in one way
or another, though perhaps only to tell you how to back out probabilities;
one problem is that people misinterpret the effect sizes reported in
odds ratios:
http://itre.cis.upenn.edu/~myl/languagelog/archives/004767.html
so most economists are loath to report them.

Personally, I prefer log odds to odds or probabilities, though odds
are usually better
for decision-making (playing poker, or evaluating a medical test result).

On Mon, Nov 5, 2012 at 7:33 AM, Maarten Buis <[email protected]> wrote:
> On Mon, Nov 5, 2012 at 12:53 PM, Seliger  Florian wrote:
>> Dear Maarten, dear Statalist,
>> You often suggest using odds ratios and - now that I read through the threads -  I find that idea convincing.
>> However, I am still confused because standard econometric courses don't talk about odds ratios and I haven't heard about them before nor have seen them in any papers. Comments on this issue are welcome.
>
> Each discipline has its blind spots and its techniques that it uses
> too much. A blind spot in economics is the odds ratio, in my
> discipline (sociology) a technique that is used too much is odds
> ratios...
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