Practical Considerations for Choosing Between Tobit and SCLS or CLAD Estimators for Censored Regression Models with an Application to Charitable Giving*

B-Tier
Journal: Oxford Bulletin of Economics and Statistics
Year: 2008
Volume: 70
Issue: 4
Pages: 559-582

Score contribution per author:

2.011 = (α=2.01 / 1 authors) × 1.0x B-tier

α: calibrated so average coauthorship-adjusted count equals average raw count

Abstract

Practical considerations for choosing between Tobit, symmetrically censored least squares (SCLS) and censored least absolute deviations (CLAD) estimators are offered. Practical considerations deal with when a Hausman test is better than a conditional moment test for judging the severity of a misspecification, the need to bootstrap the sampling distributions of the Hausman tests, what to look for in a graphical examination of the residuals and the limited value of SCLS. The practical considerations are applied to a model of the intergenerational transmission of charitable giving using new data from the Panel Study of Income Dynamics (PSID). The paper shows how to use relative distribution methods to calculate CLAD‐based marginal effects on the observable dependent variable.

Technical Details

RePEc Handle
repec:bla:obuest:v:70:y:2008:i:4:p:559-582
Journal Field
General
Author Count
1
Added to Database
2026-01-29