Computing interaction effects and standard errors in logit and probit models

EC Norton, H Wang, C Ai - The Stata Journal, 2004 - journals.sagepub.com
The Stata Journal, 2004journals.sagepub.com
This paper explains why computing the marginal effect of a change in two variables is more
complicated in nonlinear models than in linear models. The command inteff computes the
correct marginal effect of a change in two interacted variables for a logit or probit model, as
well as the correct standard errors. The inteff command graphs the interaction effect and
saves the results to allow further investigation.
This paper explains why computing the marginal effect of a change in two variables is more complicated in nonlinear models than in linear models. The command inteff computes the correct marginal effect of a change in two interacted variables for a logit or probit model, as well as the correct standard errors. The inteff command graphs the interaction effect and saves the results to allow further investigation.
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