* The data set on voting behaviour is from Pindyck and Rubinfeld, * Econometric Models and Economic Forecasts, * 1991, Third Edition, Table 10.8, p. 282; * 1998, Fourth Edition, Table 11.8, p. 332. * * The variables are: * YESVM = dummy variable equal to 1 if individual voted yes in the * election; 0 if individual voted no. * PUB12 = 1 if 1 or 2 children in public school; = 0 otherwise * PUB34 = 1 if 3 or 4 children in public school; = 0 otherwise * PUB5 = 1 if 5 or more children in public school; = 0 otherwise * PRIV = 1 if 1 or more children in private school; = 0 otherwise * YEARS = number of years living in the community * SCHOOL= 1 if individual is employed as a teacher; = 0 otherwise * LOGINC= logarithm of annual household income (in dollars) * PTCON = logarithm of property taxes (in dollars) paid per year * SAMPLE 1 95 READ (school.txt) PUB12 PUB34 PUB5 PRIV YEARS SCHOOL LOGINC PTCON YESVM LOGIT YESVM PUB12 PUB34 PUB5 PRIV YEARS SCHOOL LOGINC PTCON / INDEX=LINDEX * Translate the logit index to a probability GENR P=1/(1+EXP(-LINDEX)) SORT LINDEX P GRAPH P LINDEX / LINEONLY * Now try the PROBIT model PROBIT YESVM PUB12 PUB34 PUB5 PRIV YEARS SCHOOL LOGINC PTCON / INDEX=PINDEX * Translate the probit index to a probability GENR P=NCDF(PINDEX) SORT PINDEX P GRAPH P PINDEX / LINEONLY * Note that some of the variables are log-transformed variables. * Use the LOG option to compute elasticities assuming log-transformed * variables. LOGIT YESVM PUB12 PUB34 PUB5 PRIV YEARS SCHOOL LOGINC PTCON / LOG PROBIT YESVM PUB12 PUB34 PUB5 PRIV YEARS SCHOOL LOGINC PTCON / LOG STOP