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How to interpret the difference transformation variable???

Posted: Thu Dec 24, 2015 10:11 pm
by nawal
Hi All,

I have prepared a model and in which I took the dlog transformation of both dependent and independent variable.
Now, I am struggling how to interpret the model results?

What the beta co-efficient is showing?
I searched a lot, but didn't find anything very good.

Please help me on my query. I would be very thankful to you.

Regards,
Nawal Kashyap

Re: How to interpret the difference transformation variable?

Posted: Thu Dec 24, 2015 11:00 pm
by startz
For each additional one percent the independent variable changes between periods, the dependent variable will change an additional beta per cent between periods.