How to use spline approach to calculate the average marginal effects from the probit regressions for underperforming and outperforming firms

[David Lu]

Hello there, I would like to know how to sets two groups with the variable -perfromance- in the mkspline command, one is above 0(outperform), and one is below 0(underperform). In addition, how can I use spline approach to calculate the average marginal effects from the probit regressions for underperforming and outperforming firms? Many thanks, David

[Phil Bromiley]

I would tend to use dummy variables and interactions instead of mkspline. If you use a dummy for above/below interacted with performance, then margins works without any problem. It may work fine with mkspline's output, but i am not sure.