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Re: st: Interpretation of the estimates obtained by the -xtprobit- command

From (Brendan Halpin)
Subject   Re: st: Interpretation of the estimates obtained by the -xtprobit- command
Date   Thu, 29 Mar 2012 14:31:03 +0100

On Thu, Mar 29 2012, Yuval Arbel wrote:

> 4. I also ran the command -xtlogit- with the -fe- option (attached
> below). The algorithm omitted many panels and I got the following
> message:
> note: multiple positive outcomes within groups encountered.
> note: 7307 groups (18043 obs) dropped because of all positive or
>       all negative outcomes.

For the xtlogit question: where for certain individuals the outcome is
always 1 or always 0, the fixed effect for that individual predicts the
outcome perfectly. That implies a log-odds-ratio of +/- infinity, which
Stata's various *logit commands correctly refuse to estimate (and cope
by dropping the observations).

Re the xtprobit question:
see e.g.

Brendan Halpin,   Department of Sociology,   University of Limerick,   Ireland
Tel: w +353-61-213147  f +353-61-202569  h +353-61-338562;  Room F1-009 x 3147    ULSociology on Facebook:         twitter:@ULSociology
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