A multilevel model with data on a school level and individual level I am trying to perform a multilevel regression analysis with SAS and I found a lot of information on how to do this if your dependent variable is at the lowest level (in my case, this would be the individual level). The problem is that I am trying to find out how individual and school variables influence a school level dependent variable (e.g., a perception of school safety or school climate). Is it possible? What kind of analysis would be the most appropriate? Thank you very much in advance!
 A: If you are really interested just in the relationship at level 2 (the schools), then you might just use the level-2 data and run a standard linear model. However, your results may be biased, for example because your measurement of that level-2 variable (school climate) is unreliable---you can think of it as something like a latent variable measured by x indicators, where x are the students. Lüdtke et al. (2008) developed models that take that into account (but I fear this relates only to independent variables). And Croon and van Veldhoven (2007) have a nicer paper where the dependent variable is an aggregated level-1 variable. 
References 


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*Croon, M. A., & van Veldhoven, M. J. (2007). Predicting group-level
outcome variables from variables measured at the individual level: a
latent variable multilevel model. Psychological methods, 12, 45-57.

*Lüdtke, O., Marsh, H. W., Robitzsch, A., Trautwein, U., Asparouhov,
T., & Muthén, B. O. (2008). The multilevel latent covariate model: A
new, more reliable approach to group-level effects in contextual
studies. Psychological Methods, 13, 203–229. doi:10.1037/a0012869

