This question might be stupid but I am really curious.
Suppose I want to run the following two models. The first is the interaction model with full dataset. The second is the subsample when foreign = 0.
Code:
. reg weight c.price##i.foreign turn length Source | SS df MS Number of obs = 74 -------------+---------------------------------- F(5, 68) = 208.98 Model | 41400010.4 5 8280002.08 Prob > F = 0.0000 Residual | 2694167.97 68 39620.1172 R-squared = 0.9389 -------------+---------------------------------- Adj R-squared = 0.9344 Total | 44094178.4 73 604029.841 Root MSE = 199.05 --------------------------------------------------------------------------------- weight | Coefficient Std. err. t P>|t| [95% conf. interval] ----------------+---------------------------------------------------------------- price | .064213 .0103255 6.22 0.000 .0436088 .0848173 | foreign | Foreign | -99.87397 140.4027 -0.71 0.479 -380.0432 180.2953 | foreign#c.price | Foreign | -.0246 .0193774 -1.27 0.209 -.0632669 .014067 | turn | 20.14046 11.44118 1.76 0.083 -2.690055 42.97098 length | 23.29932 2.314677 10.07 0.000 18.68046 27.91819 _cons | -2477.284 308.2764 -8.04 0.000 -3092.44 -1862.128 --------------------------------------------------------------------------------- . reg weight c.price##i.foreign turn length if foreign == 0 note: 0.foreign omitted because of collinearity. note: 0.foreign#c.price omitted because of collinearity. Source | SS df MS Number of obs = 52 -------------+---------------------------------- F(3, 48) = 163.81 Model | 22465799.4 3 7488599.81 Prob > F = 0.0000 Residual | 2194267.87 48 45713.9139 R-squared = 0.9110 -------------+---------------------------------- Adj R-squared = 0.9055 Total | 24660067.3 51 483530.732 Root MSE = 213.81 --------------------------------------------------------------------------------- weight | Coefficient Std. err. t P>|t| [95% conf. interval] ----------------+---------------------------------------------------------------- price | .0625345 .0111822 5.59 0.000 .0400512 .0850179 | foreign | Domestic | 0 (omitted) | foreign#c.price | Domestic | 0 (omitted) | turn | 17.54976 13.18924 1.33 0.190 -8.96897 44.0685 length | 24.26179 2.716546 8.93 0.000 18.79981 29.72377 _cons | -2548.501 338.2455 -7.53 0.000 -3228.589 -1868.413 ---------------------------------------------------------------------------------
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