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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- Chalkley, Martin & McVicar, Duncan, 2008.
"Choice of contracts in the British National Health Service: An empirical study,"
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- 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, May. Full references (including those not matched with items on IDEAS)
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