When the binary choice probability model is derived from a random utility maximization model, the choice probability for one alternative has the form F[V(z, @Q)]. Here V(z, @Q) is a given function of the exogenous variables z and unknown parameters @Q, representing the systematic component of the utility difference, and F is the distribution function of the random component of the utility difference. This paper describes a method of estimating the parameters @Q without assuming any functional form for the distribution function F, and proves that this estimator is consistent. F is also consistently estimated. The method uses maximum likelihood estimation in which the likelihood is maximized not only over the parameter @Q but also over a space which contains all distribution functions.
MLA
Cosslett, Stephen R.. “Distribution-Free Maximum Likelihood Estimator of the Binary Choice Model.” Econometrica, vol. 51, .no 3, Econometric Society, 1983, pp. 765-782, https://www.jstor.org/stable/1912157
Chicago
Cosslett, Stephen R.. “Distribution-Free Maximum Likelihood Estimator of the Binary Choice Model.” Econometrica, 51, .no 3, (Econometric Society: 1983), 765-782. https://www.jstor.org/stable/1912157
APA
Cosslett, S. R. (1983). Distribution-Free Maximum Likelihood Estimator of the Binary Choice Model. Econometrica, 51(3), 765-782. https://www.jstor.org/stable/1912157
By clicking the "Accept" button or continuing to browse our site, you agree to first-party and session-only cookies being stored on your device. Cookies are used to optimize your experience and anonymously analyze website performance and traffic.