Abstract
Labor economists frequently misinterpret coefficients of variables in semilogarithmic regression equations. The proportional rates of change in the dependent variable that are implied by these coefficients are often erroneously assumed to be valid over arbitrarily large intervals. This note provides mathematical and empirical evidence on how serious the error can be. A simple formula is developed for making correct interpretations of semilog regression coefficients.
Talk to us
Join us for a 30 min session where you can share your feedback and ask us any queries you have
Schedule a callDisclaimer: All third-party content on this website/platform is and will remain the property of their respective owners and is provided on "as is" basis without any warranties, express or implied. Use of third-party content does not indicate any affiliation, sponsorship with or endorsement by them. Any references to third-party content is to identify the corresponding services and shall be considered fair use under The CopyrightLaw.
