What does this have to do with R?

Post on a statistics list,like stats.stackexchange.com instead, please.

Cheers,
Bert


On Thu, Sep 12, 2013 at 11:08 AM, Gary Dong <pdxgary163@gmail.com> wrote:

> Dear R users,
>
> I have a question regarding using logged ratio as dependent variable in
> regression. I am reading a paper discussing how a waste management facility
> has influenced housing price in surrounding areas. The author used
> Ln(P2/P1) as the dependent variable, where P1 and P2 represent trade prices
> of the same property before and after the opening of the facility. One key
> explanatory variable is the distance from the property to the facility. The
> author used spatial lag models to control for spatial autocorrelation
> between nearby properties.
>
> The author explained in the paper that the logged ratio is equivalent to
> the percentage change in the property price between time 1 and time 2.
> Thus, if the coefficient of the distance variable is 0.02, it means that
> with 1 mile closer to the facility, homes have a net appreciation rate 2%
> lower than comparable properties.
>
> I wonder if this is the appropriate way to interpret model results. If yes,
> I also wonder how the distance coefficient should be interpreted if the
> distance variable takes natural log form in the regression. Thank you!
>
> Gary
>
>         [[alternative HTML version deleted]]
>
> ______________________________________________
> R-help@r-project.org mailing list
> https://stat.ethz.ch/mailman/listinfo/r-help
> PLEASE do read the posting guide
> http://www.R-project.org/posting-guide.html
> and provide commented, minimal, self-contained, reproducible code.
>



-- 

Bert Gunter
Genentech Nonclinical Biostatistics

Internal Contact Info:
Phone: 467-7374
Website:
http://pharmadevelopment.roche.com/index/pdb/pdb-functional-groups/pdb-biostatistics/pdb-ncb-home.htm

	[[alternative HTML version deleted]]

