Why does Poisson Regression require an offset variable when we model rates instead of a count?
In a Poisson Distribution, lambda itself is a rate (e.g. cars per minute). It seems like the Poisson Regression should be naturally able to handle rates since its based on the Poisson Distribution which itself is based on a rate.
So why can't I just use the basic Poisson Regression and replace the count variable with the equivalent rate? Is there some special reason for this?