Hi all !

I am running the tobit model on stata 14.1 with the following command:

tobit effscr lnta_round firmage forex freecashflow bussegcons mktsh_nsales i.year, ll(0) ul(1) vce(robust)

The dependent variable effscr takes values between 0 and 1, however, the minimum values in the data is 0.0064. The output generated is as below:

Tobit regression Number of obs = 1,942
F( 23, 1919) = 20.14
Prob > F = 0.0000
Log pseudolikelihood = 828.36599 Pseudo R2 = -0.5368


Robust
effscr Coef. Std. Err. t P>t [95% Conf. Interval]

lnta_round .0262072 .0033906 7.73 0.000 .0195575 .0328568
firmage .0093179 .0046506 2.00 0.045 .0001973 .0184386
forex .049268 .0063153 7.80 0.000 .0368824 .0616537
freecashflow .034074 .0069969 4.87 0.000 .0203516 .0477964
bussegcons .0962874 .0266129 3.62 0.000 .0440941 .1484806
mktsh_nsales 1.262972 .2660517 4.75 0.000 .741191 1.784753

year
2001 -.0358751 .018999 -1.89 0.059 -.073136 .0013857
2002 -.0491669 .0196069 -2.51 0.012 -.0876199 -.0107139
2003 -.0578418 .0202878 -2.85 0.004 -.0976303 -.0180533
2004 -.0581242 .0209067 -2.78 0.005 -.0991265 -.0171219
2005 -.0116608 .0205047 -0.57 0.570 -.0518747 .0285532
2006 -.0065574 .0200456 -0.33 0.744 -.0458709 .0327562
2007 -.0252917 .0202699 -1.25 0.212 -.0650451 .0144617
2008 -.0273508 .0210971 -1.30 0.195 -.0687265 .0140249
2009 -.0048216 .0209372 -0.23 0.818 -.0458838 .0362405
2010 .0181514 .0217199 0.84 0.403 -.0244456 .0607484
2011 -.0150825 .0210903 -0.72 0.475 -.0564448 .0262798
2012 -.0016375 .0210923 -0.08 0.938 -.0430038 .0397288
2013 .0140805 .0185623 0.76 0.448 -.0223238 .0504848
2014 -.0014518 .0206883 -0.07 0.944 -.0420256 .039122
2015 -.0092528 .0221999 -0.42 0.677 -.0527914 .0342857
2016 .0028913 .019862 0.15 0.884 -.036062 .0418447
2017 .0221752 .0188914 1.17 0.241 -.0148746 .0592249

_cons .4680239 .0452609 10.34 0.000 .3792582 .5567895

/sigma .1433193 .0041708 .1351395 .1514992

0 left-censored observations
1,813 uncensored observations
129 right-censored observations at effscr >= 1


However, when I am generating the predicted values for Y, using the command "predict double xb, xb", I get few values (44 nos.) >1. Why is stata generating the predicted values more than the upper censored limit, I am not able to understand. Can somebody please help.

Thank You.