Effect of changing values of Dummy variables.

  • Thread starter smith007
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  • #1
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Main Question or Discussion Point

I have run a regression using a single dummy variable and have my outputs. I then changed the values of my dummy variables from 1 and 0 to . 2 + 3(x) where x was 1 or 0 with the same 1 and 0 positions in my data as the original regression. I can see that the coeffeicient of the dummy terms have decreased by an exact factor of 3 but I cannot figure out how the 2 changes the output. Any suggestions where I can look in my results/output for the effects of the 2? Thanks.
 

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  • #2
EnumaElish
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The intercept term.
 
  • #3
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Thank you for the reply. I had noticed that the intercept term was different on the second regression but I couldn't seem to figure out the exact relationship. It does not change the intercept by exactly two because of the smaller coefficient on my new dummy term.

Thanks again.
 

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