An Alternative Method for Assessing Goodness-of-Fit for Logit Models

C M Costanzo, W C Halperin, N D Gale and G D Richardson

Environment and Planning A, 1982, vol. 14, issue 7, 963-971

Abstract: An inference strategy is presented to assess the goodness-of-fit for logit models. The conventional approach has emphasized likelihood ratio tests in which a distribution for the test statistic is assumed. A more recent development, the prediction success table, is based upon a ratio of predicted to observed choice patterns, yet it is primarily a descriptive index not placed within the context of an inference strategy/hypothesis-testing framework. An alternative method is put forward which uses residuals. Although problematic in a parametric context, residuals can be used in an approach which incorporates both a nonparametric randomization procedure and a sample reuse design. A test statistic is defined and compared to a reference distribution created under the assumption of random variation in the responses with variation in the explanatory variable(s). A numerical example is carried out to investigate the efficacy of using this approach.

Date: 1982
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Persistent link: https://EconPapers.repec.org/RePEc:sae:envira:v:14:y:1982:i:7:p:963-971

DOI: 10.1068/a140963

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