Announcement

Collapse
No announcement yet.
X
  • Filter
  • Time
  • Show
Clear All
new posts

  • Biprobit VS multinomial logit

    Good morning,

    I'am currently estimating a model to forecast if some individuals will pay their loans. I have to dependent variables, one if the individual did not pay his loan in 60 days and the other if the individual did not pay his loan in 180 days. I do not know exactly which model should I use, my guess is that a biprobit is the best, because I can obtan the predicted probability of the second dependent given that the result of the first dependent (60 days) is positive, ¿this kind of problem can be modeled with a multinomial logit?

    Thanks.

    Best Regards,

  • #2
    Dear Nicholas
    Biprobit is more appropriate and straighforard.

    Comment

    Working...
    X