Hello, I have tried to estimate a model for an count dependent variable with many zeros. The independent variables are two latent variables with 9 indicators, as well as 17 observed variables. In this case, what is the best estimator? And how can I find the equation of the estimator?
Maximum likelihood estimation is not limited to continuous-normal outcomes. What is required for ML is to assume a distribution for the outcomes, and then the likelihood follow. This means that you can work with many different types of outcomes and distributions, including counts assuming say Poisson or NB, or categorical assuming say logistic.