Search found 2 matches
- Tue Apr 03, 2012 9:35 am
- Forum: Econometric Discussions
- Topic: Interaction between Dummy Variable/Continuous Variable
- Replies: 2
- Views: 3466
Re: Interaction between Dummy Variable/Continuous Variable
Basically I want to know if including β3 in the equation is worthwhile. β3 is not significant according to either the t-test or the p-test; does this mean that we disregard the interactive variable completely? Or does the fact that including β3 in the new regression increases R^2/adjusted R^2 worthw...
- Mon Apr 02, 2012 11:54 pm
- Forum: Econometric Discussions
- Topic: Interaction between Dummy Variable/Continuous Variable
- Replies: 2
- Views: 3466
Interaction between Dummy Variable/Continuous Variable
So I have a question about determining significance of the interaction between variables: A simplified version of my equation is: Vote percentage = C + β1econ_cost + β2party_affiliation + β3party_affiliation*econ_cost where econ_cost is a continuous variable and party_affiliation is a dummy variable...
