Am working on Stata 17.
Following are my code and output:
Please note that Y is a binary outcome (0 and 1).
Am using the polynomial option, not allowing the Xs to interact with each other, and including a factor control asis.
Code:
. npregress series Y X1 X2 X3 X4 X5 X6 X7 X8 X9, nointeract(X1 X2 X3 X4 X5 X6 X7 X8 X9) asis(i.gender) polynomial Computing approximating function Minimizing cross-validation criterion Iteration 0: Cross-validation criterion = .2065269 Computing average derivatives Polynomial-series estimation Number of obs = 301 Criterion: cross-validation Polynomial order = 2 ------------------------------------------------------------------------------ | Robust Y | Effect std. err. z P>|z| [95% conf. interval] -------------+---------------------------------------------------------------- X1 | -.090843 .042029 -2.16 0.031 -.1732184 -.0084676 X2 | .0012329 .0459111 0.03 0.979 -.0887512 .0912171 X3 | .0515722 .0271503 1.90 0.057 -.0016414 .1047858 X4 | -.0221318 .034087 -0.65 0.516 -.088941 .0446775 X5 | .1323169 .0408576 3.24 0.001 .0522375 .2123964 X6 | .02101 .0362033 0.58 0.562 -.0499472 .0919672 X7 | .0310251 .0384144 0.81 0.419 -.0442657 .1063159 X8 | .0662618 .024961 2.65 0.008 .0173391 .1151846 X9 | .0710502 .0317508 2.24 0.025 .0088197 .1332807 | gender | (1 vs 0) | -.135051 .056472 -2.39 0.017 -.2457342 -.0243678 ------------------------------------------------------------------------------
The effect for X1 is negative and significant.
Had this been a logistic regression, I may have interpreted that unit increase in X1 reduces the likelihood of Y being = 1 by ...
But here, I must interpret it as unit increase in X1 reduces Y by 0.09. Am I correct?
Also, I drew up the marginsplot for X1 for the actual range of X1 in the dataset.
Code:
margins, at(X1=(1(0.25)7)) marginsplot
Array
So while the effect of X1 simply showed negative (-.091) in the output, the plot shows diminishing returns.
"Mean function" on y=axis and values of X1 on the x-axis
How am I to finally interpret the results?
Simply say increase in X1 reduces Y or that there is a diminishing returns relationship?
Please advise.
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