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st: mean-centering to interpret interaction in treatreg

From   "Shehzad Ali" <>
To   <>
Subject   st: mean-centering to interpret interaction in treatreg
Date   Thu, 31 Jul 2008 16:36:33 +0100

Hi listers,

I am using a treatreg model with an interaction term. Here is the simplified

treatreg y x1_c x2_c x3 x1_c*x2_c, treat(x2=x1 x3 x4)

Here I have used mean-centred x1 and x2 (called x1_c and x2_c respectively)
for the -outcome- part of the model (dependent var is y) but I used original
values of x2 in the -treat- part because it only allows two values for the
dependent variable, i.e. 0 and 1. Now looking at the result, Stata drops
x2_c and instead uses x2 for the outcome part. I was wondering if I could
still interpret the coefficient on interaction term and x1_c and x2 at mean
levels? Can anyone please suggest whats the best way to approach this model?

Any help would be appreicated.

Many thanks,


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