Spatially correlated nested logit model for spatial location choice

Residential location choice is a key component of the models for predicting land-use and transport demand in urban planning. In general, it requires to consider correlation between spatial alternatives. The approach nested alternatives logit model has proved highly efficient this context. This incorporates into both non-spatial correlations due unobserved variables. metric extensions spatially correlated specifies capturing without having design structure. A combining approaches proposed research. herein nests using pairs improves properties need increasing number unknown parameters. Our also with same metric. When needing incorporate preference heterogeneity model, compatible mixed specification random coefficients. was empirically applied real case residential city Santander Spain. empirical context, improved explanatory predictive power that combines.