An Efficient Method of Moments Estimator for Discrete Choice Models With Choice-Based Sampling

A Smoothed Maximum Score Estimator for Multinomial Discrete Choice Models

We propose a semiparametric estimator for multinomial discrete choice models. The term “semiparametric” refers to the fact that we do not specify a particular functional form for the error term in the random utility function and we allow for heteroskedasticity and serial correlation. Despite being semiparametric, the rate of convergence of the smoothed maximum score estimator is not affected by...

Modeling Discrete Choice with Uncertain Data: an Augmented Mnl Estimator

When estimating the value of natural resources, the applied analyst must often work with noisy or otherwise imprecise measures of both dependent and independent variables. To help control for this uncertainty, this article introduces a multinomial logit model (MNL) that uses ancillary information to control for uncertainty in observed choices and in the attributes of a respondent’s choice set. ...

Choice Based Conjoint Analysis: Discrete Choice Models vs. Direct Regression

Conjoint analysis is family of techniques that originated in psychology and later became popular in market research. The main objective of conjoint analysis is to measure an individual’s or a population’s preferences on a class options that can be described by parameters and their levels. We consider preference data obtained in choice based conjoint analysis studies, where one observes test per...

Data Models for Discrete Choice

Estimation of Dynamic Discrete Choice Models by Maximum Likelihood and the Simulated Method of Moments.

We compare the performance of maximum likelihood (ML) and simulated method of moments (SMM) estimation for dynamic discrete choice models. We construct and estimate a simplified dynamic structural model of education that captures some basic features of educational choices in the United States in the 1980s and early 1990s. We use estimates from our model to simulate a synthetic dataset and asses...