Linear probability model: Difference between revisions

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{{Short description|Statistics model}}
In [[statistics]], a '''linear probability model''' (LPM) is a special case of a [[binary regression]] model. Here the [[dependent and independent variables|dependent variable]] for each observation takes values which are either 0 or 1. The probability of observing a 0 or 1 in any one case is treated as depending on one or more [[dependent and independent variables|explanatory variables]]. For the "linear probability model", this relationship is a particularly simple one, and allows the model to be fitted by [[linear regression]].