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| From | Mike <quangdata@gmail.com> |
| To | statalist@hsphsun2.harvard.edu |
| Subject | st: Re: Why main effects are significant but interction term is not signficant |
| Date | Tue, 8 Mar 2011 02:22:28 -1000 |
y= beta+beta1*x1+beta2*x2+beta3*x1*x2+epsilon You can think of y as income, x1 is gender (1 for male) and x2 is the educational level. The OLS gives a significant results for beta1 and beta2 but not beta3. In the context of the example, male and higher education help having higher income. But the interaction of male and higher education doesn't have any significant effect on income. Can you provide some insights? * * For searches and help try: * http://www.stata.com/help.cgi?search * http://www.stata.com/support/statalist/faq * http://www.ats.ucla.edu/stat/stata/