Computing Interaction Effects and Standard Errors in Logit and Probit Models
Authors:
Top Cited Papers
- 1 June 2004
- journal article
- research article
- Published by SAGE Publications in The Stata Journal: Promoting communications on statistics and Stata
- Vol. 4 (2) , 154-167
Abstract
This paper explains why computing the marginal effect of a change in two variables is more complicated in nonlinear models than in linear models. The command inteff computes the correct marginal effect of a change in two interacted variables for a logit or probit model, as well as the correct standard errors. The inteff command graphs the interaction effect and saves the results to allow further investigation.Keywords
This publication has 2 references indexed in Scilit:
- Interaction terms in logit and probit modelsEconomics Letters, 2003
- The Wage and Employment Effects of the Americans with Disabilities ActThe Journal of Human Resources, 2000