Hi. I am running my modelling to measure the efficiency of port with the logistics variables. The dep var is DEA which is lnte, an Independent var is lnwt lngdp lnhh. The values of dep var between 0 to 1. The command is:
xtreg lnte lnwt lngdp lnhh, fe vce (robust)
Since DEA value is between 0 to 1, I was told to run probit command instead of normal regression which is the code reg or xtreg. My concern is, if value of dep var is between 0 to 1, what is the right command for regression, for instance xtreg lnte lnwt lngdp lnhh, vce (robust) or probit lnte lngdp lnhh, vce robust?
Thanks.
xtreg lnte lnwt lngdp lnhh, fe vce (robust)
Since DEA value is between 0 to 1, I was told to run probit command instead of normal regression which is the code reg or xtreg. My concern is, if value of dep var is between 0 to 1, what is the right command for regression, for instance xtreg lnte lnwt lngdp lnhh, vce (robust) or probit lnte lngdp lnhh, vce robust?
Thanks.
