I'm using xtmixed
in Stata to test a Hierarchical Linear Model.
My problem is that variance at level 2 is about 4% of the total variance. So most of the variance is at level 1 and the intraclass correlation coefficient is 4%.
In other studies (different fields) I see much higher intraclass correlation coefficients (30-50%). Is there a threshold for a multilevel model to make sense? Or can I publish my results just showing the 4% (and its reduction when adding predictors to the empty model)?