POL242Y5 Lecture 16: POL242 Week 16 January 23rd

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24 Jan 2017
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Transform nominal variables into many dummy variables. H: students in the political science are smarter than other social sciences. When you create dummy variables create the variables -1. X1 = sociology (sociology=1, if not sociology=0) 0-10, where 0 is does not respond at all, and 10 is completely gives in. There are different effects like for men and women, there are two different numbers. **the effect of your education is different for people who talk about politics at home. **interaction where the effect changes, its different in different variables like multiplication. Effect of job training program on employment depends on a person"s age. Effect of gender on income depends on education. Effect of stress on suicidal thoughts depends on previous mental health issues. Always at least three variables example; income, education, age. What is the effect of a one unit increase of x, on y? . What is the effect of age depends on the effect of education!

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