I am trying to run ordered logit for a dependent variable that takes values -1,0,1. Suppose education ( measured as ordered categorical variable) as one of the independent variable and the coefficient in a simple regression of educ on the ordered dependent variable is -.27 and the respective cut1 is -.42 and cut 2 is .32. I am having difficulty in interpreting these.
I am interpreting the following way:
The ordered logit for individuals with higher education is .42 less to be in the category of 1 as compared to individuals with lower amount of education.
The cut 1 of -.42 is observations which had value of -.42 or less will be in -1 category of dependent variable given they have lesser amount of education.
The cut 2 of .32 means observations that had value of .32 and higher will be in category value of 1 of dependent variable. The observations that had value between -.42 and .32 will be in the category of 0 of dependent variable.
Will this be right? Thanks
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