CHAPTER 15 Logistic Regression: Modeling Categorical Responses Ey loan ReenessION 15.2 MULTIPLE LOGISTIC REGRESSION 153 INFERENCE FOR LOGISTIC REGRESSION MODELS 1514 LOGISTIC REGRESSION MODELS FOR ORDIAL VARIABLES" 1855 LOGISTIC MODELS FOR NOMINAL RESPONSES" 1515 LOGLINEAR MODELS FOR CATEGORICAL VARIABLES 157 MODEL GOODNESS-OF FT TESTS FOR CONTINGENCY TABLES" 15.8 CHAPTER SUMMARY ‘variables that are eatogoical, ss 151-15. present the loge regression model for binary response var404 Chapter 15 Logistic Regt Linear Probal ‘Medeling Categorical Responses ty Model For a single explanatory variable the simple model = yes,0= 10). Fe = 30,y'= fortwo subjects and y = 0 forthe st "ants 15.1: Anna Income (in Thousands of Euros and Possessing a Travel Celt Card, For ‘ramp, of the fv subjects with income 30 thousand euros, two poseee@ 8 travel cet a Se Ra Gata Ga vesce "SE SE eee “SE Sone Us Sa roe yh re a Sg. Wah fe : soars ra pie Bod i Be 3 @ a 3 ‘Source: Tania to R Pzaretn, Bocconi Unversity. alas en bt have ben converted eure Software provides results shown in Table 152 (heavily edited). The toistic predietion equation is logitfPty = 1] =a + Be led the logistic regression model. gh tine mot the probity My = 1) isl er the eure wpa atte end of th section 5 SE. sncone 1088 .0362 Constant -8.6179 7103486 chapter 15 Logic Regresion: Modeling Categorical Responses ‘estimated probability of having 4 credit card is below 0.50 for incomes below 33 Thotwand euros and above 00 for incomes above this level . egrsion Pein Cave for Example 15.1 Logistic Regression Equation for Probabilities ‘expresses the probability of suocess ternative equation for logistic re ireatly. is eo POD am ; ce-Rsth 8 ete _ 0304 = See er ay To ePID) Tee” L104 inthis sample, the estimated proba For x = 65, the highest income lev equals 097, Interpreting the Logistic Regression Model ate the probability of sucess and weve sen grein Cure ape y= 1h — y= 1 sme data, # = 0.105. When the estimated The righthand side of thi oguation bas the expan regresion fom sae in ‘Section 14.6, a constant multiplied by another const ss antilog of fis 8 = 6305 = 1.14. When annual income increases by one thousand eures, he estimated odds of owning a creditcard multiply