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st: tobit model in a percentage range
From
"Cremades, Roger" <[email protected]>
To
"[email protected]" <[email protected]>
Subject
st: tobit model in a percentage range
Date
Tue, 16 Aug 2011 18:57:12 +0000
Dear all,
I am hesitating about using Tobit in a model with a dep var in a percentage range with values in 0 or 100, my dataset looks something like this:
%ADOPTION (dep var) subsidy soil_clay asset ... more indep vars
0 1 1 200
100 0 1 590
0 0 0 700
... ... ... ...
74 1 0 500
100 0 1 600
58 1 1 780
0 1 0 300
OLS seems to produce bias in that case and I do not find information about how to justify using Tobit model in the stata book store or in Long/Freese book, most authors do it without justify it properly and I do not know if it is appropiate as there are no really censured values under 0 or above 100, may somebody help or give advice about appropriate background to justify pros/cons of using Tobit in this cases?
best greetings and wishes,
Roger
ENREM MSc.
Cranfield University
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