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st: Interpretation of Interaction terms in log-lin


From   Lukas Borkowski <[email protected]>
To   [email protected]
Subject   st: Interpretation of Interaction terms in log-lin
Date   Tue, 22 May 2012 12:24:15 +0200

Dear all,

my simplified model can be written as y = ß0 + ß1x1 + ß2x2 + ß3x1_x2 with the last expression being an interaction term. 

However, the dependent variable is in logs and the explanatory variables are not. I now wonder whether I have to add ß2 and ß3 before putting them into the e-function or to exponantiate each coeffecient seperately and then do the addition? 

Thanks for your help!

#
Lukas Borkowski




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