probit

The finance community generally picks the gaussian cdf, so that’s called probit and all their papers are full of probit regression.

Both Probit (1934) and Logistic regression (1943) models, which are also linear classifiers, precede the Perceptron model (1958) by many years.

He popularized the model during a time when Probit regression was more popular.

The two usual choices are either the normal CDF which gives the Probit model or the Logistic function (Sigmoid) which gives the Logit model.

The normal R^2 formula can't be applied to a logit/probit model; instead you use an alternative such as McFadden's or Cox & Snell pseudo R-squared.

Bill Benter subsequently replaced the multinomial logit model with a multinomial probit model, which assumes Normally distributed errors rather than errors that follow the Laplace distribution.

Addiction to cigarettes does much more damage so while we don't probit it we don't allow people to deliberately encourage it via advertising.

Logistic curve or probit is a much better abstraction.

Nice, I presume the dependent variable is binary, implying a logit/probit model?

When these kids graduate, if they know you are still debating about probit vs logit with a default l2 penalty, they are going to laugh in your face & kick you to the curb.

As I've delved more into machine learning topics, I'm amazed (though not surprised!) at how both academic and industry economists are still mostly focused on running OLS/logit/probit regressions, and not other classification techniques.

-> The fundamental presumption is the same Thurstone model The Thurstone model is similar, and as you said it assumes normal (as opposed to logistic) using probit link function.

From the study abstract: "Using trivariate probit regression with demographic, drug use, and drug market covariates, analyses reveal that African Americans are nearly twice as likely to buy outdoors (0.31 versus 0.14), three times more likely to buy from a stranger (0.30 versus 0.09), and significantly more likely to buy away from their homes (0.61 versus 0.48).

Anywhere else like Probit, KuCoin, any DeFi - there will only be stable coins.

I can't speak for industry economists, but the reason we academics tend to spend so much time with OLS/Logit/Probit is their flexibility and scalability.