Dear all,
I am interested in predicted values after an OLS regression. Moreover, I am curious how these vary across groups (number of groups varies from 2-3, depending on the dimension). I would like to perform this via a significance test. The intuition is that,
H0: yhat_1 = yhat_2 v.s. H1: yhat_1 uneq yhat_2
t (or z) = (yhat_1 - yhat_2) /(sqrt(var_1 + var_2)
And now three questions:
1. Is this intuition right?
2. If yes, is there a pre build option to omplement this test.
3. And how do I perform the joint hypothesis that all three predictions are equal?
Below a minimal working example.
Thank you very much.
Daniel
******************************************* MWE ************************************************** *******
sysuse auto, clear
xtile price_cat = price, nquantiles(3)
reg displacement mpg if price_cat == 1
lincom _cons + mpg*20
reg displacement mpg if price_cat == 2
lincom _cons + mpg*20
reg displacement mpg if price_cat == 3
lincom _cons + mpg*20
**** Significance of difference between groups
* e.g. via test
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