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This article is concerned with the specification and estimation of relationships whose dependent variable is qualitative in nature (such as "yes" or "no"). It discusses logit equations with and without interaction, and the estimation procedure is generalized least squares. Part I deals with dependent variables that take only two values, part II with variables taking more than two values, and part III describes informational measures for the explanatory power of the determining factors. The discussion of more advanced technical matters is contained in various appendixes.
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Henri Theil (1970) studied this question.
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