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  • How to derive marginal effects after interaction, where the main/direct effect of the moderator is not estimatable (by choice)

    Dear All,

    I am seeking to estimate a logit model, where the binary dependent variable (e.g., pupils' uni admission) is explained by a binary independent variable (e.g., pupils' high parental SES), the effect of which depends on a continuous group-level moderator (e.g., school funding).

    The challenge: I would like to focus on how the association between the independent variable and the outcome differs depending on a group characteristic, while holding all group characteristics that may affect the outcome fixed (and do not vary by independent variable), i.e., after using group fixed effects. That is, I am keen to estimate this model (and the subsequent marginal effects):

    Code:
    global c "i.Binary##c.Control"
    global i "i.Binary##c.Moderator"
    logit DV i.Group $c $i ,vce(cluster Group) or  
    margins, dydx(Binary) at(Moderator = (-1(1)1)) asobserved vsquish post noatlegend
    Given that the main/direct effect of the Moderator and the fixed effects for Group are perfectly collinear (by design), the main effect of Moderator cannot be estimated, and deriving the margins is tricky.

    Is there any way to still derive predictions and marginal effects? Or an alternative that'd be of help to interpret the interaction?

    am seeking to give some sensible interpretation to these results (e.g. compare predictions for Group 28 and 31), and to plot the results, e.g. as in marginsplot (but e.g. binscatter also thinkable), without having to drop the fixed effects altogether (which would be the easy thing to do, but I am reluctant to venture there).

    Any help would be greatly appreciated!!

    Here's a stylized dataex for the example above.

    Code:
    * Example generated by -dataex-. For more info, type help dataex
    clear
    input float Group byte(DV Binary) float(Control Moderator)
    10 0 0   1.522567  -1.423487
    10 0 0 -.13660517  -1.423487
    10 0 0  1.0248153  -1.423487
    10 0 0  -.6343568  -1.423487
    10 0 0   .8588981  -1.423487
    10 0 1  1.0248153  -1.423487
    10 0 1  .52706367  -1.423487
    10 1 1  1.7714427  -1.423487
    10 0 1  2.1032772  -1.423487
    10 0 1  .27818787  -1.423487
    11 1 0   .6100222 .029861337
    11 0 0 -.05364656 .029861337
    11 0 0  .52706367 .029861337
    11 0 0  -.2195638 .029861337
    11 0 0  -.7173154 .029861337
    11 0 1  -.7173154 .029861337
    11 0 1  -.9661912 .029861337
    11 0 1 -1.5469013 .029861337
    11 0 1  -.4684396 .029861337
    11 0 1 -1.0491498 .029861337
    15 1 0  1.6884842   -.697905
    15 0 0  -1.463943   -.697905
    15 0 0   .6929809   -.697905
    15 0 0  1.1907325   -.697905
    15 1 0   1.273691   -.697905
    15 0 1  -.4684396   -.697905
    15 0 1  .52706367   -.697905
    15 0 1  1.7714427   -.697905
    15 0 1   .4441051   -.697905
    15 0 1  1.0248153   -.697905
    17 0 0  -.8832326   .6419196
    17 0 0 -1.1321084   .6419196
    17 0 0 -1.0491498   .6419196
    17 0 0  -.8832326   .6419196
    17 0 0  -.9661912   .6419196
    17 0 1  -1.463943   .6419196
    17 0 1  -.9661912   .6419196
    17 0 1 -1.2980257   .6419196
    17 0 1 -1.5469013   .6419196
    17 1 1  .27818787   .6419196
    19 0 0  1.7714427 -1.1388315
    19 0 0  -1.463943 -1.1388315
    19 0 0   .9418567 -1.1388315
    19 1 0  1.6884842 -1.1388315
    19 0 0 -1.2980257 -1.1388315
    19 0 1  -1.215067 -1.1388315
    19 0 1  .11227065 -1.1388315
    19 0 1   .3611465 -1.1388315
    19 0 1  1.4396083 -1.1388315
    19 0 1  .19522925 -1.1388315
    22 0 0  .11227065 -.27745637
    22 0 0  .19522925 -.27745637
    22 0 0 -.13660517 -.27745637
    22 1 0  .11227065 -.27745637
    22 0 0  -.2195638 -.27745637
    22 0 1   .6100222 -.27745637
    22 0 1   1.273691 -.27745637
    22 0 1  .11227065 -.27745637
    22 0 1  .11227065 -.27745637
    22 0 1  2.0203187 -.27745637
    28 0 0  1.4396083 -.54138076
    28 1 0  -.3025224 -.54138076
    28 0 0  1.1907325 -.54138076
    28 0 0 -1.2980257 -.54138076
    28 0 0   1.522567 -.54138076
    28 0 1  1.4396083 -.54138076
    28 0 1   .4441051 -.54138076
    28 0 1 -1.2980257 -.54138076
    28 0 1   .6100222 -.54138076
    28 0 1  .27818787 -.54138076
    29 0 0  1.0248153  1.7323356
    29 0 0   -.800274  1.7323356
    29 0 0   .4441051  1.7323356
    29 0 0   -.385481  1.7323356
    29 0 0   .3611465  1.7323356
    29 1 1  1.4396083  1.7323356
    29 0 1   .6100222  1.7323356
    29 0 1 -1.2980257  1.7323356
    29 0 1 .029312044  1.7323356
    29 0 1 -.13660517  1.7323356
    31 0 0  1.0248153  .02299988
    31 0 0  .27818787  .02299988
    31 0 0  -1.215067  .02299988
    31 0 0   .8588981  .02299988
    31 1 0   -.385481  .02299988
    31 0 1  1.6884842  .02299988
    31 0 1  -.3025224  .02299988
    31 0 1  -.8832326  .02299988
    31 0 1   1.273691  .02299988
    31 0 1  1.3566496  .02299988
    32 0 0   .7759395    .709194
    32 0 0  -1.463943    .709194
    32 0 0   .3611465    .709194
    32 1 0  -.4684396    .709194
    32 0 0 -.05364656    .709194
    32 0 1 -1.0491498    .709194
    32 0 1  -1.215067    .709194
    32 0 1  -.7173154    .709194
    32 0 1 -1.0491498    .709194
    32 0 1   .4441051    .709194
    33 1 0  1.1907325  1.2920736
    33 0 0  -.8832326  1.2920736
    33 0 0   .3611465  1.2920736
    33 0 0  -1.215067  1.2920736
    33 0 0  -.2195638  1.2920736
    33 0 1  -.8832326  1.2920736
    33 0 1  -.5513982  1.2920736
    33 0 1  -.6343568  1.2920736
    33 0 1 -.05364656  1.2920736
    33 0 1 -1.3809842  1.2920736
    34 1 0 -.05364656 -.12098723
    34 0 0   .3611465 -.12098723
    34 0 0  .11227065 -.12098723
    34 0 0   .6929809 -.12098723
    34 0 0  1.7714427 -.12098723
    34 0 1  -1.215067 -.12098723
    34 0 1 -1.5469013 -.12098723
    34 0 1  .11227065 -.12098723
    34 0 1   -.800274 -.12098723
    34 0 1   .9418567 -.12098723
    35 0 0 -1.2980257  1.3944004
    35 0 0   -1.62986  1.3944004
    35 0 0 -1.3809842  1.3944004
    35 0 0  -.7173154  1.3944004
    35 0 0 -1.1321084  1.3944004
    35 0 1 -1.2980257  1.3944004
    35 0 1   .6929809  1.3944004
    35 1 1  -.2195638  1.3944004
    35 0 1   .7759395  1.3944004
    35 0 1 -1.1321084  1.3944004
    37 0 0  -.3025224  .15224363
    37 0 0  -1.215067  .15224363
    37 0 0  1.8544014  .15224363
    37 0 0  -.3025224  .15224363
    37 1 0  .11227065  .15224363
    37 0 1 -1.2980257  .15224363
    37 0 1   -.800274  .15224363
    37 0 1  -.5513982  .15224363
    37 0 1  -1.215067  .15224363
    37 0 1  -.5513982  .15224363
    38 1 0  .27818787   -1.77498
    38 0 0 .029312044   -1.77498
    38 0 0   .6100222   -1.77498
    38 0 0  -.7173154   -1.77498
    38 1 0 -.05364656   -1.77498
    38 0 1  -.8832326   -1.77498
    38 0 1  1.6055255   -1.77498
    38 0 1  1.8544014   -1.77498
    38 0 1  .19522925   -1.77498
    38 0 1   .7759395   -1.77498
    end
    Many thanks in advance!
    Last edited by Johannes Muller; 16 Aug 2023, 07:37.
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