Hey there Statalisters!
I'm interested in quantifying the total effect of an independent variable on the dependent inclusive of an interaction effect. The model I have looks like (they're all continuous):
xi: reg depedent income edu edu##inst i.country i.year
More precisely, I'd like to say a one standard dev increase in the edu variable is associated with a increase in the dependent variable of x units assuming some value for the variable inst (so adding the effect coming from edu and from edu## inst).
I've done enough research on interaction terms and standardizing the variables in this and other sites that I no longer trust using ", beta". Is it OK to run the following regression to obtain the coefficients I need?
xi: reg dependent stdincome stdedu stdedu##inst i.country i.year
where:
egen stdincome=std(income)
egen stdedu =std(edu)
I'm not standardizing the dependent or the interaction variable inst because I want to express the changes in the dependent variable in the original units & I want to assume certain values for inst so I don't see the need to standardize it.
Thank you!
Adela
I'm interested in quantifying the total effect of an independent variable on the dependent inclusive of an interaction effect. The model I have looks like (they're all continuous):
xi: reg depedent income edu edu##inst i.country i.year
More precisely, I'd like to say a one standard dev increase in the edu variable is associated with a increase in the dependent variable of x units assuming some value for the variable inst (so adding the effect coming from edu and from edu## inst).
I've done enough research on interaction terms and standardizing the variables in this and other sites that I no longer trust using ", beta". Is it OK to run the following regression to obtain the coefficients I need?
xi: reg dependent stdincome stdedu stdedu##inst i.country i.year
where:
egen stdincome=std(income)
egen stdedu =std(edu)
I'm not standardizing the dependent or the interaction variable inst because I want to express the changes in the dependent variable in the original units & I want to assume certain values for inst so I don't see the need to standardize it.
Thank you!
Adela
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