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How to find a cut-off value for Estimated Probability that make an equation has the minimum value

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Occasional Contributor
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How to find a cut-off value for Estimated Probability that make an equation has the minimum value

[ Edited ]

Hi SAS community members,

 

I need to find a cut-off value for Estimated Probability that make EC has the minimum value

 

EC= q1(x1)c1+q2(x2)c2

where q1=0.01, c1=1 , q2=0.99, c2=20

 

x1 is the probability of observed Type I error , x2 is the probability of observed the Type II error

q1 is the assuemd probabilty for manipulator = 0.01 (1%), and the assumend probabilty for non-manipulator is q2=0.99 (99%).

 

The following is the sample data 

 

Global CompanyemEstimated Probability
Key
 
 
117310.01095
117310.00952
128610.00804
336210.0161
373400.00812
383910.0123
394610.01109
406000.00972
406010.01077
437210.00967
460110.00978
460100.00981
462210.00922
476910.01033
504710.01023
539910.00945
613610.01154
613610.00984
688210.00917
765210.00949
765200.00958
799110.01051
809210.01075
897200.01
953810.01213
1002610.00946

 

em=1 means the observations is a manipulator, 0 otherwise,  

 

Estimated Probability is the estmated probabilty calculated by a Logit model.

 

In my sample, there are 100 manipulators and 9,900 non-manipulators.

 

 

Could anyone please help me for this .

 

Many thanks for your help.

SAS Employee
Posts: 21

Re: How to find a cut-off value for Estimated Probability that make an equation has the minimum valu

I don't quite understand the statistics terms (manipulator, etc.) in your questions. I guess you can also ask this question in the statistics community while waiting for an answer here:

https://communities.sas.com/t5/SAS-Statistical-Procedures/bd-p/statistical_procedures

 

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