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  • Estimate impact of a dummy variable in term of other variables

    Hello,

    I estimated utility from going to school conditional on some variables including a dummy variable "parent_chool", which =1 if the student has at least one of the parents went to high school; and another variable "distance" which measure the distance from the student's house to school.

    Now I need to figure out the impact of not having a parent who went to high school to utility in term of meters.

    First, I would like to ask how to compute the impact of not having a parent who went to high school? Is this just the parameter estimated for "parent_school"

    Second, how could I find that impact in term of meters? Is this equal to the ratio of the parameter estimated for "parent_school" and for "distance"

    Thank you,


  • #2
    I suspect that the answers you gave to your own questions are correct, but without seeing the actual regression command you used, it is impossible to give assurance, as there are situations where those answers would be wrong. Please post back showing the exact regression command you used (N.B. in full, and exactly as you ran it--no edits)

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