Hi everyone,

I am running into a problem when running an LSDV model. My residuals are non-normal (I have run the jb and the shapiro wilk tests). Probably this is because my dependent variable is highly skewed. The problem is that I cannot take the simple log transformation of the DV, because I have several values of zero, and if I took the log, those observations would go missing. Any suggestions what I could do to fix my model?

Thanks a lot in advance!