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The following table contains the parameter estimates of the linear probability model and the logistic regression model. When considering a binary response variable y and

The following table contains the parameter estimates of the linear probability model and the logistic regression model. When considering a binary response variable y and two predictor variables, x1 and x2, what is the predicted probability implied by the logistic regression model for x1 = 2 with x2 = 15? (Hint: for logit, the model is = exp(b0+b1x1+b2x2)1+exp(b0+b1x1+b2x2).exp0+11+221+exp0+11+22. )

Variable Linear Probability Logistic
Intercept 0.74 3.60

x1

0.52 1.13

x2

0.02 0.32

a. 0.002

b. 0.006

c. 0.005

d. 0.838

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