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On the linear in probability model for binary data
H S Battey1, D R Cox2, M V Jackson3
1Department of Mathematics, Imperial College London, London, UK.
Abstract:
The analysis of binary response data commonly uses models linear in the logistic transform of probabilities. This paper considers some of the advantages and disadvantages of simple least-squares estimates based on a linear representation of the probabilities themselves, this in particular sometimes allowing a more direct empirical interpretation of underlying parameters. A sociological study is used in illustration.
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