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We all know that the interpretation of coefficients in a semilogarithmic model are approximate only.
So if we find, lets say a coefficient on the independent variable X of 0.33, it is only approximately
true that a one unit increase in X increases Y by 33%.
A) What would be the exact increase in Y? Explain using math and English.
B) What would be the exact increase in Y, if the model was fully logarithmic, with Y being
preceded by a log function as well?

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We all know that the interpretation of coefficients in a sem.pdf

  • 1. We all know that the interpretation of coefficients in a semilogarithmic model are approximate only. So if we find, lets say a coefficient on the independent variable X of 0.33, it is only approximately true that a one unit increase in X increases Y by 33%. A) What would be the exact increase in Y? Explain using math and English. B) What would be the exact increase in Y, if the model was fully logarithmic, with Y being preceded by a log function as well?