Econometrics Academy - Probit and Logit Models
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Econometrics Academy - Probit and Logit Models
Probit and Logit Models: Files Lecture: Probit and Logit Models.pdf Stata program: Probit and Logit Models.do Data files: mroz.dta R script: Probit and Logit Models.R Data files: mroz.csv Probit and Logit Models: Lecture Topics Linear probability model Probit and logit models Maximum likelihood
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Use the data in LOANAPP for this exercise. The binary variable to be explained is approve, which is equal to one if a mortgage loan to an individual was approved. The key explanatory variable is white, a dummy variable equal to one if the applicant was white. The other applicants in the data set are black and Hispanic. To test for discrimination in the mortgage loan market, a linear probability model can be used: approve =β0 β1 white other factors. (i) If there is d
Use the data in LOANAPP for this exercise. The binary variable to be explained is approve, which is equal to one if a mortgage loan to an individual was approved. The key explanatory variable is white, a dummy variable equal to one if the applicant was white. The other applicants in the data set are black and Hispanic. To test for discrimination in the mortgage loan market, a linear probability model can be used: approve =β0 β1 white other factors. (i) If there is d
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