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Stata Interaction Terms

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Stata Interaction Terms. Conducting analysis with interaction terms is straightforward in stata. Reg wage grade i race racexeduc.

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I sometimes use themsometimes use them. In order to allow for differential effects of working for a salary on urban and rural households we need to add an interaction term. Gen racexeduc race grade 2 missing values generated.

The most intuitive way to do so is to generate the interaction term as a new variable.

Below we use the test command to test this partial interaction. I sometimes use themsometimes use them. This video will explain how to use stata s inline syntax for interaction and polynomial terms as well as a quick refresher on interpreting interaction terms. In order to allow for differential effects of working for a salary on urban and rural households we need to add an interaction term.

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