Question: Consider a binary response variable yand two predictor variables x1 and x2. The following table contains the parameter estimates of the linear probability model (LPM)


Consider a binary response variable yand two predictor variables x1 and x2. The following table contains the parameter estimates of the linear probability model (LPM) and the logistic regression model, with the associated pvalues shown in parentheses. Variable LPH Logistic -0.40 -l.90 Intercept (0-05, (0.02! 1'1 0.39 1.00 (0.04) (0.06) x 0.02 0.10 2 (0.06) (0.02) a. What is the predicted probability implied by the linear probability model for x1 = 9 with x2 equal to 15 and 20?Note: Round intermediate calculations to at least 4 decimal places and final answers to 2 decimal places. Report the probability between Cl and 1 {not in '36]. b. What is the predicted probability implied by the logistic model for x1: 9 with x2 equal to 15 and 20? 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 $6)
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