The minimum discrimination information principle is used to identify an appropriate parametric family of probability distributions and the corresponding maximum likelihood estimators for binary response models. Estimators in the family subsume the conventional logit model and form the basis for...

The purpose of this paper is to initiate a discussion on the incorrect nature of our economic–econometric models and methods, and to make a plea for information theoretic recovery methods consistent with the data that we must use and with the questions that we need to ask.