Why are coefficients of probit and logit models estimated


Problem

1. One of your friends is using data on individuals to study the determinants of smoking at your university. She asks you whether she should use a probit, logit, or linear probability model. What advice do you give her? Why?

2. Why are the coefficients of probit and logit models estimated by maximum likelihood instead of OLS?

The response should include a reference list. Double-space, using Times New Roman 12 pnt font, one-inch margins, and APA style of writing and citations.

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Econometrics: Why are coefficients of probit and logit models estimated
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