Applied Econometrics Lecture 10: Binary Choice Models

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Applied EconometricsLecture 10: Binary Choice ModelsM ns S derbom 22 September 2009 University of Gothenburg. IntroductionThe methods discussed thus far in the course are well suited for modelling a acontinuous,quantitativevariable - economic growth, the log of value-added or output, the log of earnings economic phenomena of interest, however, concern variables that are not continuous or perhapsnot even quantitative. What characteristics ( parental) a ect the likelihood that an individual obtains a higher degree?

how these models can be modi–ed to take into account unobserved heterogeneity, when panel data are available. Useful references for this lecture:

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