An ordered categorical response model with endogenous switching: Simulation Exercises and an Application to State Health
We develop and estimate a full information maximum likelihood ordered categorical response model with endogenous switching. Simulation exercises show that estimated parameters are unbias and consistent. And application to Internet access indicates that there are selection and moral hazard.
|Date of creation:||01 May 2011|
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- Munkin, Murat K. & Trivedi, Pravin K., 2008. "Bayesian analysis of the ordered probit model with endogenous selection," Journal of Econometrics, Elsevier, vol. 143(2), pages 334-348, April.
- Cardon, James H & Hendel, Igal, 2001. "Asymmetric Information in Health Insurance: Evidence from the National Medical Expenditure Survey," RAND Journal of Economics, The RAND Corporation, vol. 32(3), pages 408-427, Autumn.
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