Question: A logit model with 50 observations and three RHS variables reports a 2 of 13.7, a 2 log-likelihood for the restricted model of 42.7, and
A logit model with 50 observations and three RHS variables reports a χ2 of 13.7, a −2 log-likelihood for the restricted model of 42.7, and a −2 log-likelihood for the unrestricted model of 29. If =CHIINV(.01,3) = 11.344, is the model significant at the 1% level? That is, does including the three RHS explanatory variables add to the explanatory power of the model?
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