DEVCON: Stata module to apply the deviation contrast transform to estimation results

Jann, Ben (2005). DEVCON: Stata module to apply the deviation contrast transform to estimation results. [Software & Other Digital Items]

Archive (31 Jul 2006) devcon_v3.zip - Updated Version Available under License BORIS Standard License. Download (6kB)

devcon transforms the coefficients of 0/1 dummy variables so that they reflect deviations from the "grand mean" rather than deviations from the reference category (the transformed coefficients are equivalent to those obtained by the so called "effects coding") and adds the coefficient for the reference category. The variance-covariance matrix of the estimates is transformed accordingly. The transformed estimated can be used with post estimation procedures. In particular, devcon can be used to solve the identification problem for dummy variable effects in the so-called Blinder-Oaxaca decomposition (see the oaxaca package).

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