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A cautionary note on goodness-of-fit statistics for models estimated by pseudo maximum likelihood
Journal article   Open access   Peer reviewed

A cautionary note on goodness-of-fit statistics for models estimated by pseudo maximum likelihood

Nick Green and Joao Santos Silva
The Stata Journal, Vol.25(2), pp.458-465
06/2025

Abstract

st0001 glm poisson ppml ppmlhdfe AIC BIC R 2
We argue that measures of goodness-of-fit based on the value of the likelihood function should not be used when estimation is performed by pseudo maximum likelihood. We illustrate this point by showing that, when the dependent variable is not a count, some measures of goodness-of-fit for Poisson regression routinely reported by Stata commands depend on the scale of the data, and therefore are uninformative.
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