IDEAS home Printed from https://ideas.repec.org/a/bla/obuest/v50y1988i4p425-27.html
   My bibliography  Save this article

An Advantage of the Linear Probability Model over Probit or Logit

Author

Listed:
  • Caudill, Steven B

Abstract

Linear probability models, logit models, and probit models have been used to estimate dichotomous choice models in the past, but recently, the linear probability model has fallen into disfavor because it can yield predicted probabilities outside the 0-1 interval. However, there are some parameters of interest that can be estimated in the linear probability model, but not in either logit or probit models. If the model contains a dummy variable for membership in some group, and every member of the group has the same value for the dependent variable, the coefficient of the group dummy variable cannot be estimated in logit or probit models, but can be estimated in the linear probability model. Copyright 1988 by Blackwell Publishing Ltd

Suggested Citation

  • Caudill, Steven B, 1988. "An Advantage of the Linear Probability Model over Probit or Logit," Oxford Bulletin of Economics and Statistics, Department of Economics, University of Oxford, vol. 50(4), pages 425-427, November.
    • Handle: RePEc:bla:obuest:v:50:y:1988:i:4:p:425-27
    as

    Download full text from publisher

    To our knowledge, this item is not available for download. To find whether it is available, there are three options:
    1. Check below whether another version of this item is available online.
    2. Check on the provider's web page whether it is in fact available.
    3. Perform a search for a similarly titled item that would be available.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:bla:obuest:v:50:y:1988:i:4:p:425-27. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Wiley Content Delivery (email available below). General contact details of provider: https://edirc.repec.org/data/sfeixuk.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.