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On the calculation of marginal effects in the bivariate probit model

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  • Christofides, Louis N.
  • Stengos, Thanasis
  • Swidinsky, Robert

Abstract

We examine the effects of marginal changes in continuous variables on the joint, conditional and marginal probabilities involved in the bivariate probit model. The connection between effects in the univariate and bivariate probit models are also explored. We illustrate these effects using a bivariate model of welfare and labor force participation by lone mothers, using data from the 1989 Labour Market Activity Survey of Canada.
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  • Christofides, Louis N. & Stengos, Thanasis & Swidinsky, Robert, 1997. "On the calculation of marginal effects in the bivariate probit model," Economics Letters, Elsevier, vol. 54(3), pages 203-208, July.
    • Handle: RePEc:eee:ecolet:v:54:y:1997:i:3:p:203-208
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    1. Louis N. Christofides & Thanasis Stengos & Robert Swidinsky, 1997. "Welfare Participation and Labour Market Behaviour in Canada," Canadian Journal of Economics, Canadian Economics Association, vol. 30(3), pages 595-621, August.
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