Dynamic Mode Choice Models Considering Unobserved Heterogeneity Based on Mass Point Approach

Nonparametric Discrete Choice Models with Unobserved Heterogeneity

In this research, we provide a new method to estimate discrete choice models with unobserved heterogeneity that can be used with either cross-sectional or panel data. The method imposes nonparametric assumptions on the systematic subutility functions and on the distributions of the unobservable random vectors and the heterogeneity parameter. The estimators are computationally feasible and stron...

Observing Unobserved Heterogeneity: Using Process Data to Enhance Choice Models

Observed and Unobserved Preference Heterogeneity In Brand Choice Models

In deciding what brand to buy consumers trade off between how valuable each brand is to them and its price. Scanner data based brand choice models that evaluate this trade off and allow for unobserved heterogeneity are a very popular topic. We extend this line of research by explicitly incorporating brand preferences rather than just utilizing brand specific constants and past purchase behavior...

“ Demand estimation with unobserved choice set heterogeneity ”

We present a method to estimate demand parameters in the presence of unobserved choice set heterogeneity that is related to Chamberlain (1980)'s Fixed Effect logit. We rely on assumptions about the stability or evolution of choice sets over at least two choice occasions to difference out unobserved-to-the-econometrician choice sets and to consistently estimate preference parameters. We present ...

Heterogeneity in dynamic discrete choice models

We consider dynamic discrete choice models with heterogeneity in both the levels parameter and the state dependence parameter. We …rst analyse the purchase of full fat milk using a long consumer panel (T > 100) on many households. The large T nature of the panel allows us to consistently estimate the parameters of each household separately. This analysis indicates strongly that the levels and T...