Re: st: Ordered Logit - Should I use it or not

["Augusto Pallavicini" <agupalla@hotmail.com>]

Many thanks Sunil and Christoph.
About tobit and hurdle models, how can I test for non-normal and 
heteroskedastic errors?

thanks!!

--------------------------------------------------
From: "Sunil Kumar" <stuff.sunil@googlemail.com>
Sent: Saturday, July 14, 2012 6:50 PM
To: <statalist@hsphsun2.harvard.edu>
Subject: Re: st: Ordered Logit - Should I use it or not

> Augusto,
>
> I see no reason why you should not simply treat your dependent
> variable--willingness to pay--as a continuous variable, censored at 0.
> That means you can analyze it using a tobit model, or, if you believe
> that the process determining the binary decision to be willing to pay
> anything (yes or no) is different from the process that determines the
> amount, conditional on that amount being positive, then you could
> explore a double hurdle type model (see, for instance, Moffatt, Peter
> G. 2005. Hurdle models of loan default. Journal of the Operational
> Research Society 56 (9): 1063-1071.).
>
> Best,
> Sunil
>
> On Sat, Jul 14, 2012 at 3:41 PM, Augusto Pallavicini
> <agupalla@hotmail.com> wrote:
> > Hi all,
> > I wanted to know whether I should use ordered logit. I am working on a
> > contingent valuation dissertation.
> > My dependent variable is willingness to pay and contains the values 0; 
> > 2.5;
> > 5; 7.5; 10; 15.
> > I transformed these values into 6 categories 1 2 3 4 5 6
> > The original question from which I obtained the data was Would you 
> > willing
> > to pay 2.5 pounds for...? If yes, would you willing to pay 5...? and so 
> > on
> > If I cannot use ordered logit, what do you recommend me to use?
> > Thanks a lot
> > Augusto
> > *
> > *   For searches and help try:
> > *   http://www.stata.com/help.cgi?search
> > *   http://www.stata.com/support/statalist/faq
> > *   http://www.ats.ucla.edu/stat/stata/
> *
> *   For searches and help try:
> *   http://www.stata.com/help.cgi?search
> *   http://www.stata.com/support/statalist/faq
> *   http://www.ats.ucla.edu/stat/stata/
*
*   For searches and help try:
*   http://www.stata.com/help.cgi?search
*   http://www.stata.com/support/statalist/faq
*   http://www.ats.ucla.edu/stat/stata/