Qualitative IV with more than two categories

Interpreting Qualititative IVs with more than two categories

Specifying the reference is especially important if the independent, qualitative variable has more than 2 categories.

Relative to those whose major is in the business school, the employer-rated people skills among those whose major is in the engineering school is rated 2.25 points lower.  

Relative to those whose major is in the business school, the employer-rated people skills among those whose major is in the humanities school is rated 1.56 points higher.  

Employers rate business school majors' people skills as 5.41.