Consider the Following Probit Regression $$\operatorname { Pr } ( Y = 1 \mid X ) = \Phi ( 8.9 - 0.14 \times X )$$

question 22

Essay

Consider the following probit regression $$\operatorname { Pr } ( Y = 1 \mid X ) = \Phi ( 8.9 - 0.14 \times X )$$ Calculate the change in probability for $X$ increasing by 10 for $X = 40$ and $X = 60$ . Why is there such a large difference in the change in probabilities?

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Definitions:

Group-oriented

A trait or approach emphasizing teamwork, collaboration, and prioritizing the goals and success of the group over individual achievements.

Incentive Systems

Structured programs designed to encourage and reward specific behaviors among a group of individuals.

Profit Sharing

A company's practice of distributing a portion of its earnings to employees, usually based on the company's profitability, as an incentive and reward for their contributions.

Psychological Ownership

The feeling of possession and personal attachment that individuals feel for an object, place, or idea, even if they do not legally own it.