In statistics, a linear probability model is a special case of a binomial regression model. Here the observed variable for each observation takes values which are either 0 or 1. The probability of observing a 0 or 1 in any one case is treated as depending on one or more explanatory variables. For the "linear probability model", this relationship is a particularly simple one, and allows the model to be fitted by simple linear regression.
Read more about Linear Probability Model: The Model
Famous quotes containing the words probability and/or model:
“The source of Pyrrhonism comes from failing to distinguish between a demonstration, a proof and a probability. A demonstration supposes that the contradictory idea is impossible; a proof of fact is where all the reasons lead to belief, without there being any pretext for doubt; a probability is where the reasons for belief are stronger than those for doubting.”
—Andrew Michael Ramsay (1686–1743)
“It has to be acknowledged that in capitalist society, with its herds of hippies, originality has become a sort of fringe benefit, a mere convention, accepted obsolescence, the Beatnik model being turned in for the Hippie model, as though strangely obedient to capitalist laws of marketing.”
—Mary McCarthy (1912–1989)