Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Hi can you help with this question? Thanks! Suppose you are interested in the survival probability of passengers aboard the Titanic. You have information about
Hi can you help with this question? Thanks!
Suppose you are interested in the survival probability of passengers aboard the Titanic. You have information about 2000 passengers, including the gender (=1 if male), whether child or adult (=1 if adult), the class traveled (First class or class 1 is the more expensive class), and a binary variable indicating survival. A probit model gives the following results, the estimated coefficients are in column 1 and the respective s.e. in column 2: Dependent variable: alive Estimate Standard Error male -2.420 (0.140) adult -1.062 (0.244) class 2 (1=yes) -1.018 (0.195 class 3 (1=yes) -1.778 (0.172) class 4 (1=yes) -0.858 (0.157) constant 3.105 (0.298) Log-likelihood value -1,105.03 Log-likelihood value (constant only model) -1,384.72 The mean values are given by 0.95 (male), 0.79 (adult), 0.13 (class 2), 0.32 (class 3) and 0.40 (class 4). 1. Which research question could you study with such a model? Write down the formal model the estimation is based upon. Are the coefficients significant?2. How many people were in first class? What is the percentage of males in our sample?3. The lifeboats were loaded using the usual "women and children first" (followed by the ship's officers). In order to investigate this protocol, you calculate the probability of survival for: O Female adult in first class O Male adult in first class Then calculate the difference between these two probabilities. What can you infer from this result? 4. In addition, you calculate the marginal effect for gender evaluated at the mean of the explanatory variables. What is the interpretation of this marginal effect? Is it consistent with your results from 3Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started