Explaining choice set size for unemployed
From questionnaire data it is evident that the number of alternatives unemployed workers consider, i.e. their choice set size, varies substantially. A binomial model is formulated for choice set size, where individual characteristics are used as explanatory variables for observed large variation in choice set size. A score-test for overdispersion is derived. According to an overall test, the model cannot be rejected and interesting determinants of choice set size variation are found.
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