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# Interval regression: Verbeek's "willingness to pay" example
set echo off
set messages off
open wtp.gdt --quiet

# construct the two bounds variables
series lo = NA
series hi = NA

smpl depvar = 1 --restrict
hi = bidl
smpl depvar = 2 --restrict --replace
lo = bidl
hi = bid1
smpl depvar = 3 --restrict --replace
lo = bid1
hi = bidh
smpl depvar = 4 --restrict --replace
lo = bidh

/*
 Re-establish the full sample range and run two variants
 of interval regression; a likelihood-ratio test is also
 computed.
*/

smpl full
intreg lo hi const
scalar ll0 = $lnl
intreg lo hi const age female income
scalar ll1 = $lnl
scalar LR = 2*(ll1 - ll0)
printf "LR test: Chi-square(3) = %g, p-value = %g\n", \
  LR, pvalue(X, 3, LR)