Chapter 6 Non linear models

In the preceding chapters, we assumed that the model is linear in the parameters (not in the variables that can be nonlinear). However, in real applications, models are not linear and the relationship between the dependent variable and the regressors has a more complicated functional form hence requiring more advanced estimation methods. In this chapter, we will discuss the general specification of nonlinear models. Then we will study some trivial cases widely encountered in practice as logistic regression model, count data model…etc.