When using the probit model,estimated marginal effects are obtained by
A)estimating the model by the probit function.
B)converting the estimated coefficients into marginal effects by taking the derivatives of the probit function with respect to the independent variable.
C)estimating the model by OLS.
D)taking the derivative of the estimated coefficients.

Question

Quizplus · Accepted Answer

Estimated marginal effects in probit models are obtained by taking the derivatives of the probit function with respect to the independent variable, which allows for the calculation of the change in the probability of the dependent variable as the independent variable changes. Therefore, the best option is B, converting the estimated coefficients into marginal effects by taking the derivatives of the probit function with respect to the independent variable.

When Using the Probit Model,estimated Marginal Effects Are Obtained by