Introductory Stata 22: Marginal Effects (margins, marginsplot)
In this video, we will continue to use the "margins" command. We will produce the marginal effect of a continuous variable on the outcome variable by using the "dydx" option. The marginal effect is also called the partial effect because the other variables are held fixed.
#margins #marginsplot #Stata
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22. Marginal Effects
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capture log close
log using marginal.log, text replace
set showbaselevels on
webuse nlsw88.dta, clear
describe
summarize
*marginal effect of grade on lwage
*constant effect
generate lwage=ln(wage)
regress lwage c.grade c.age i.married i.union i.race
margins, dydx(grade)
*marginal effect differs between two union groups
regress lwage c.grade##i.union c.age i.married i.race
margins, dydx(grade) at(union=(0 1))
*marginal effect changes with age
regress lwage c.grade##c.age i.married i.union i.race
margins, dydx(grade) at(age=(34(2)46))
marginsplot
log close
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