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Thread: How to handle a skewed dependent variable?

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    How to handle a skewed dependent variable?




    Hello,

    i had another thread, where the scatterplot of the dependent variable and independent variable looked like the pic ('scatterplot2').

    Now i log-transformed the dependent variable and it looks like the pic ('scatterplot').

    Is linearity still an issue here?

    But there is some skewness there right? How could I handle that?

    Best, Franziska

    Any help appreciated!
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    Re: How to handle a skewed dependent variable?

    So is Pic1 is what data now looks like after transformation and Pic2 is the pre-transformed data? If so, those data seem fairly good looking. What do you plan to eventually do with these data?
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    Re: How to handle a skewed dependent variable?

    I was not aware that skewness effected linearity. Normally its an issue with normality which is not the same concept.
    "Very few theories have been abandoned because they were found to be invalid on the basis of empirical evidence...." Spanos, 1995

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    Re: How to handle a skewed dependent variable?


    That's correct, pic 1 shows the data after transformation and pic 2 before transformation.
    So you would say that i could work with the data after transformation?

    Well, I am writing my master thesis and i analyse the effect of age onto innovation.

    That's true. I am unsure if the linearity problem is still an issue after the transformation and if the skewed data may have an effect onto the normality.
    Is there any way to make the data 'un-skewed'?

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