What Is Accomplished by Using a Tobit Model Rather Than

question 14

Multiple Choice

What is accomplished by using a Tobit model rather than the least squares estimator?

• A)it generate unbiased and consistent estimates on censored data
• B)it corrects sample selection bias
• C)it allows for choice models to be estimated using GLS
• D)it generates the same unbiased coefficient estimates,but with smaller variances

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Definitions:

Chronic Diseases

Chronic diseases are long-lasting conditions that usually can be controlled but not cured, often affecting an individual’s quality of life.

Simple Linear Regression

A statistical method that models the relationship between a dependent variable and one independent variable using a linear equation.

Obesity

A medical condition characterized by excessive body fat accumulation, which poses a risk to health.

Diabetes

A chronic medical condition characterized by elevated levels of blood glucose due to the body's inability to produce or properly use insulin.