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Table 8 Comparison of average marginal effects between logit model and LPM

From: What matters in the annuitization decision?

Variables Logit LPM
Experiment
UP − 0.021 − 0.020
(0.040) (0.041)
DOWN − 0.053 − 0.054
(0.040) (0.041)
TRUST − 0.041*** − 0.034**
(0.016) (0.016)
Motives
Liquidity − 0.077*** − 0.080***
(0.010) (0.011)
Family risk pooling − 0.022** − 0.021**
(0.010) (0.011)
Bequest 0.008 0.006
(0.009) (0.010)
Investment frame − 0.072*** − 0.072***
(0.015) (0.016)
Mortality salience − 0.015* − 0.011
(0.008) (0.008)
Self-selection 0.030** 0.032**
(0.013) (0.013)
Literacy
Basic annuity literacy 0.105*** 0.098***
(0.020) (0.018)
Financial literacy − 0.033** − 0.029*
(0.017) (0.017)
Observations 676 676
Pseudo R2 0.197  
R2   0.192
  1. This table presents the average marginal effects of the factors of the regressions in Table 2 alongside the average marginal effects estimates from a linear probability model. Standard errors in parentheses. ***p < 0.01, **p < 0.05, *p < 0.1