Probit and logit models typically require a normalization on the error variance for model identification. This paper shows that in the context of sample mean probability decompositions, error variance normalizations preclude estimation of the effects of group differences in the latent variable...

The advent of the knowledge economy has transformed the behavior of economic agents and the nature of transactions. In particular, the increase of knowledge based transactions not associated with monetary flows is weakening the significance of traditional measures of economic dynamics like gross...