Probit model as a result of a latent variable model

This video explains how a Probit model can be found to occur naturally in a situation in which there is a latent (unobserved) variable, with a normally distributed error term.

Check out http://oxbridge-tutor.co.uk/undergrad... for course materials, and information regarding updates on each of the courses. Check out https://ben-lambert.com/econometrics-... for course materials, and information regarding updates on each of the courses. Quite excitingly (for me at least), I am about to publish a whole series of new videos on Bayesian statistics on youtube. See here for information: https://ben-lambert.com/bayesian/ Accompanying this series, there will be a book: https://www.amazon.co.uk/gp/product/1...