Interpretation of log transformations in linear models: just how accurate is it?

2022 m. sausio 25 d., 05:59

If linear regression is statistics/econometrics 101, then log transformations of dependent and independent variables and the associated interpretations must be statistics/econometrics 102. Typically, you are told that: If you log-transform an independent variable, then the regression coefficient \( b \) associated with that variable can be interpreted as “for every...