Hi!
I'm working on a project where I want to see the effect off an aviation tax on total passangers that travel with aviation, using the difference in difference model.
Code I use in Stata: reg TotalpassengersSweden dummy_Treat_Aviation AfterTax Interactionterm,r
Code I use in Stata with log: reg log_TotalpassengersSweden dummy_Treat_Aviation AfterTax Interactionterm,r
Array
This is the result I get. Why isn't the log function negative? I understand that the total passengers in kolumn (1) decrease. But wouldn't the log function also be negative?
I interpret the result like this:
(1): The result from the tax (with the DiD-model) shows that number of passengers decrease with 2,2 millions.
(2): The result from the tax makes the total passengers to increase with 11.8%
Do I interpret the result correct? Or how should the result be interpreted? If I'm wrong, why is the log function negative?
It feels strange that the linear-linear function shows a decrease and the log-linear a positive result. Also that the log-function is significant and the linear-linear is not.
Regards
David
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