Question: Consider a binary response variable y and a predictor variable x. The following table contains the parameter estimates of the linear probability model (LPM) and


Consider a binary response variable y and a predictor variable x. The following table contains the parameter estimates of the linear probability model (LPM) and the logistic regression model, with the associated p-values shown in parentheses. Variable LPM Logistic Intercept -0.78 -5.90 (0.03) (0.03) 0.04 0.28 (0.07) (0.02) a. Test for the significance of the intercept and the slope coefficients at the 5% level in both models. Coefficients LPM Logistic Intercept Stope b. What is the predicted probability implied by the linear probability model for x = 24 and x = 31? Note; Round intermediate calculations to at least 4 decimal places and final answers to 2 decimal places. Report the probability between O and 1 (not in %). X = 24 X = 31 c. What is the predicted probability implied by the logistic regression model for x = 24 and x = 31? Note: Round intermediate calculations to at least 4 decimal places and final anounce to ? decimal alomar Dannot the meatshilite hatonan A and 1 fant in all c. What is the predicted probability implied by the logistic regression model for x = 24 and x = 31? Note: Round intermediate calculations to at least 4 decimal places and final answers to 2 decimal places. Report the probability between 0 and 1 (not in %). y X = 24 X = 31
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