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st: RE: elasticity with respect to the observed variable in Tobit


From   "Maarten Buis" <[email protected]>
To   <[email protected]>
Subject   st: RE: elasticity with respect to the observed variable in Tobit
Date   Wed, 13 Jun 2007 13:17:44 +0200

--- Olga Lyashevskaya wrote:
> I have to derive the elasticity (=marginal effect)for
> the dependent variable with respect to x of 
> a)the latent variable;
> b)the observed variable

Note that elasticity is not the same as marginal effect.
The marginal effect is how much your y of choice 
(observed or latent) changes for a unit increase in x, 
and the elasticity is the percentage change in your y of
choice for a percentage change in x. Both can be computed
with -mfx- (dydx is marginal effect and eyex is 
elasticity) I have to leave for a meeting now, but later
I will add an example. 

Hope this helps,
Maarten
 
-----------------------------------------
Maarten L. Buis
Department of Social Research Methodology 
Vrije Universiteit Amsterdam 
Boelelaan 1081 
1081 HV Amsterdam 
The Netherlands

visiting address:
Buitenveldertselaan 3 (Metropolitan), room Z434 

+31 20 5986715

http://home.fsw.vu.nl/m.buis/
-----------------------------------------

 

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