Linear versus logistic regression when the dependent variable is a dichotomy

Linear versus logistic regression when the dependent variable is a dichotomy The article argues against the popular belief that linear regression should not be used when the dependent variable is a dichotomy. The relevance of the statistical arguments against linear analyses, that the tests of significance are inappropriate and that one risk getting meaningless results, are disputed. Violating the homoscedasticity assumption seems to be of little practical importance, as an empirical comparison of results shows nearly identical outcomes for the two kinds of significance tests. When linear analysis of dichotomous dependent variables is seen as acceptable, there in many situations exist compelling arguments of a substantive nature for preferring this approach to logistic regression. Of special importance is the intuitive meaningfulness of the linear measures as differences in probabilities, and their applicability in causal (path) analysis, in contrast to the logistic measures. http://www.deepdyve.com/assets/images/DeepDyve-Logo-lg.png Quality & Quantity Springer Journals

Linear versus logistic regression when the dependent variable is a dichotomy

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Publisher
Springer Netherlands
Copyright
Copyright © 2007 by Springer Science + Business Media B.V.
Subject
Social Sciences; Methodology of the Social Sciences; Social Sciences, general
ISSN
0033-5177
eISSN
1573-7845
D.O.I.
10.1007/s11135-007-9077-3
Publisher site
See Article on Publisher Site

Abstract

The article argues against the popular belief that linear regression should not be used when the dependent variable is a dichotomy. The relevance of the statistical arguments against linear analyses, that the tests of significance are inappropriate and that one risk getting meaningless results, are disputed. Violating the homoscedasticity assumption seems to be of little practical importance, as an empirical comparison of results shows nearly identical outcomes for the two kinds of significance tests. When linear analysis of dichotomous dependent variables is seen as acceptable, there in many situations exist compelling arguments of a substantive nature for preferring this approach to logistic regression. Of special importance is the intuitive meaningfulness of the linear measures as differences in probabilities, and their applicability in causal (path) analysis, in contrast to the logistic measures.

Journal

Quality & QuantitySpringer Journals

Published: Feb 16, 2007

References

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