A new condition for pooling states in multinomial logit
The Cramer-Ridder test is a popular procedure for testing if some outcome states can be pooled into one state in the multinomial logit model. We show that, in the presence of binary regressors, the test is overly stringent and poolability may not be tested unambiguously.
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- Martin Chalkley & Duncan McVicar, 2007.
"Choice of Contracts in the British National Health Service: An Empirical Study,"
Dundee Discussion Papers in Economics
216, Economic Studies, University of Dundee.
- Chalkley, Martin & McVicar, Duncan, 2008. "Choice of contracts in the British National Health Service: An empirical study," Journal of Health Economics, Elsevier, vol. 27(5), pages 1155-1167, September.
- Chalkley, Martin, 2008. "Choice of Contracts in the British National Health Service: An Empirical Study," SIRE Discussion Papers 2008-43, Scottish Institute for Research in Economics (SIRE).
- Anh Ngoc Nguyen & Jim Taylor, 2003. "Post-high school choices: New evidence from a multinomial logit model," Journal of Population Economics, Springer;European Society for Population Economics, vol. 16(2), pages 287-306, 05.
- Diane M. Dancer & Denzil G. Fiebig, 2004. "Modelling Students at Risk," Australian Economic Papers, Wiley Blackwell, vol. 43(2), pages 158-173, 06.
- Cramer, J. S. & Ridder, G., 1991. "Pooling states in the multinomial logit model," Journal of Econometrics, Elsevier, vol. 47(2-3), pages 267-272, February.
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