15
θ-∣ = O θ2 θɜ
Figure 2.1: Distribution of the latent random variable t⅛ ~ N(xtiβ, 1) according to Albert
and Chib’s model considering four categories, K = 3. The cutpoints θ% and Θ3 are random.
The observed value ⅛ is indicator of the interval where Vi falls.
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