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Modeling Selectivity in Count-Data Models

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  • van Ophem, Hans

Abstract

This article presents a method for modeling endogenous selectivity in count data. As in the case of the switching-regression model, two regimes are distinguished with potentially different data-generating processes. The regime choice is allowed to be correlated with the observed count in each of the regimes. An estimable model is obtained by transforming the underlying processes to the bivariate normal distribution. An empirical application on trip count is provided.

Suggested Citation

  • van Ophem, Hans, 2000. "Modeling Selectivity in Count-Data Models," Journal of Business & Economic Statistics, American Statistical Association, vol. 18(4), pages 503-511, October.
    • Handle: RePEc:bes:jnlbes:v:18:y:2000:i:4:p:503-11
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    Cited by:

    1. Antonello Maruotti, 2009. "Fairness of the national health service in Italy: a bivariate correlated random effects model," Journal of Applied Statistics, Taylor & Francis Journals, vol. 36(7), pages 709-722.
    2. Jianan Wu & Victor J. Cook & Edward C. Strong, 2005. "A Two-Stage Model of the Promotional Performance of Pure Online Firms," Information Systems Research, INFORMS, vol. 16(4), pages 334-351, December.
    3. Martin Schellhorn, 2002. "Auswirkungen wählbarer Selbstbehalte in der Krankenversicherung: Lehren aus der Schweiz?," Vierteljahrshefte zur Wirtschaftsforschung / Quarterly Journal of Economic Research, DIW Berlin, German Institute for Economic Research, vol. 71(4), pages 411-426.
    4. Chai Cheng, T., 2011. "Measuring the effects of removing subsidies for private insurance on public expenditure for health care," Health, Econometrics and Data Group (HEDG) Working Papers 11/32, HEDG, c/o Department of Economics, University of York.
    5. Michael Creel, 2002. "Hausman Tests for Inefficient Estimators: Application to Demand for Health Care Service (revised)," UFAE and IAE Working Papers 509.02, Unitat de Fonaments de l'Anàlisi Econòmica (UAB) and Institut d'Anàlisi Econòmica (CSIC).
    6. Chai Cheng, T & Vahid, F, 2010. "Demand for hospital care and private health insurance in a mixed publicprivate system: empirical evidence using a simultaneous equation modeling approach," Health, Econometrics and Data Group (HEDG) Working Papers 10/25, HEDG, c/o Department of Economics, University of York.
    7. Greene, W., 2001. "Fixed and Random Effects in Nonlinear Models," New York University, Leonard N. Stern School Finance Department Working Paper Seires 01-01, New York University, Leonard N. Stern School of Business-.
    8. Zhang Qin & Seetharaman P.B. & Narasimhan Chakravarthi, 2005. "Modeling Selectivity in Households' Purchase Quantity Outcomes: A Count Data Approach," Review of Marketing Science, De Gruyter, vol. 3(1), pages 1-21, July.
    9. A. Colin Cameron & Tong Li & Pravin K. Trivedi & David M. Zimmer, 2004. "Modelling the differences in counted outcomes using bivariate copula models with application to mismeasured counts," Econometrics Journal, Royal Economic Society, vol. 7(2), pages 566-584, December.
    10. Martin Schellhorn, 2001. "The effect of variable health insurance deductibles on the demand for physician visits," Health Economics, John Wiley & Sons, Ltd., vol. 10(5), pages 441-456, July.
    11. Kajal Lahiri & Xian Li, 2020. "Smoking Behavior of Older Adults: A Panel Data Analysis Using HRS," Journal of Quantitative Economics, Springer;The Indian Econometric Society (TIES), vol. 18(3), pages 495-523, September.
    12. Erik Brouwer & Alfred Kleinknecht & Pierre Mohnen & Hans van Ophem, 2001. "R&D and Patents: Which Way Does the Causality Run?," CIRANO Working Papers 2001s-31, CIRANO.
    13. Rainer Winkelmann, 2009. "Copula-based bivariate binary response models," SOI - Working Papers 0913, Socioeconomic Institute - University of Zurich.
    14. Munkin, Murat K. & Trivedi, Pravin K., 2003. "Bayesian analysis of a self-selection model with multiple outcomes using simulation-based estimation: an application to the demand for healthcare," Journal of Econometrics, Elsevier, vol. 114(2), pages 197-220, June.
    15. Geraci Andrea & Fabbri Daniele & Monfardini Chiara, 2018. "Testing Exogeneity of Multinomial Regressors in Count Data Models: Does Two-stage Residual Inclusion Work?," Journal of Econometric Methods, De Gruyter, vol. 7(1), pages 1-19, January.
    16. Partha Deb & Pravin K. Trivedi, 2002. "Specification and Simulated Likelihood Estimation of a Non-normal Outcome Model with Selection: Application to Health Care Utilization," Economics Working Paper Archive at Hunter College 02/5, Hunter College Department of Economics, revised 2004.
    17. Martin Schellhorn, 2001. "A Comparison of Alternative Methods to Model Endogeneity in Count Models. An Application to the Demand for Health Care and Health Insurance Choice," Social and Economic Dimensions of an Aging Population Research Papers 40, McMaster University.
    18. Chung, Rebecca H. & Lee, Jonq-Ying & Brown, Mark G., 2004. "A Study of the Demand for Medical Services in Taiwan," Research papers 53389, Florida Department of Citrus.
    19. Subrata Chakraborty & S. H. Ong, 2017. "Mittag - Leffler function distribution - a new generalization of hyper-Poisson distribution," Journal of Statistical Distributions and Applications, Springer, vol. 4(1), pages 1-17, December.
    20. A. Colin Cameron & Tong Li & Pravin K. Trivedi & David M. Zimmer, 2004. "Modelling the differences in counted outcomes using bivariate copula models with application to mismeasured counts," Econometrics Journal, Royal Economic Society, vol. 7(2), pages 566-584, December.
    21. Margarita Genius & Elisabetta Strazzera, 2008. "Applying the copula approach to sample selection modelling," Applied Economics, Taylor & Francis Journals, vol. 40(11), pages 1443-1455.

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