SABIIA - Sistema Aberto e Integrado de Informação em Agricultura (Sabiia)

Anderson, Soren T.; Newell, Richard G..

We show that after a simple normalization of explanatory variables so that they equal zero at some desired reference point, marginal effects for continuous variables in probit and logit models simplify dramatically, becoming a function of only the estimated constant term. We present similar simplifications for computation of the asymptotic variance of marginal effects, as well as for the effects of dummy variables on predicted probabilities. We provide a simple table, which in combination with raw probit or logit estimates, is all one needs to compute the desired effects.

An Information-Theoretic Approach to Modeling Binary Choices: Estimating Willingness to Pay for Recreation Site Attributes

Palavras-chave: Logit; Probit; Discrete choice; Binary choice; Marginal effect; Data normalization; Research Methods/ Statistical Methods; C25; C51; C81.

Ano: 2003

URL: http://purl.umn.edu/10631

Henry-Osorio, Miguel; Mittelhammer, Ronald C..

Information-Theoretic Econometrics

Tipo: Presentation

Palavras-chave: Minimum power divergence; Cressie-Read statistics; Contingent valuation; Empirical likelihood; Discrete choice; Binary response models; Environmental Economics and Policy; Research Methods/ Statistical Methods; C13; C14; C25; Q51.

Ano: 2012

URL: http://purl.umn.edu/123432

Water Conservation and Residential Landscapes: Household Preferences, Household Choices

Structural choice analysis with nested logit models

Hurd, Brian H..

Communities throughout the Western United States are challenged by tight water supplies and swelling populations. Information is needed to better develop and target municipal water conservation programs. Significant water savings ranging from 35% to 70% are possible from changes in residential landscaping and improved management of outside watering, which often accounts for more than 50% of total residential water use. This study examines landscape choices of homeowners in three cities in New Mexico in order to identify and measure behavioral factors affecting water conservation. Using survey data, landscape choices are analyzed with a mixed logit model that assesses the effects of landscape and homeowner characteristics on choice probabilities. Model...

Tipo: Journal Article

Palavras-chave: Discrete choice; Landscape preference; New Mexico water; Residential landscape; Water conservation; Water conservation programs; Water savings; Consumer/Household Economics; Resource /Energy Economics and Policy.

Ano: 2006

URL: http://purl.umn.edu/8605

The Retail Service, The Market Power, and the Vertical Relationships in Breakfast Cereals Industry

Heiss, Florian.

The nested logit model has become an important tool for the empirical analysis of discrete outcomes. There is some confusion about its specification of the outcome probabilities. Two major variants show up in the literature. This paper compares both and finds that one of them (called random utility maximization nested logit, RUMNL) is preferable in most situations. Since the command nlogit of Stata 7.0 implements the other variant (called non-normalized nested logit, NNNL), an implementation of RUMNL called nlogitrum is introduced. Numerous examples support and illustrate the differences between both specifications.

Tipo: Journal Article

Palavras-chave: Nlogitdn; Nlogitrum; Nested logit model; Discrete choice; Random utility maximization model; Research Methods/ Statistical Methods.

Ano: 2002

URL: http://purl.umn.edu/115999

Chidmi, Benaissa; Lopez, Rigoberto A.; Cotterill, Ronald W..

This article extends the Berry, Levinsohn, Pakes (1995) model to include retail services by Boston supermarkets in an equilibrium model of breakfast cereals and then tests alternative vertical pricing games between manufacturers and supermarkets to ascertain who’s got the pricing power. Empirical results show that retail services play a significant role in market equilibrium. Consumers are willing to pay for additional retail services embedded in their cereal purchases, especially those with higher income and no kids. Markups and market shares increase with the level of retail services, although manufacturers dominate pricing decisions in the market channel for breakfast cereals. Significant downward biases in price elasticities and markup estimates result...

Discrete choice models, which one performs better?

Palavras-chave: Vertical relationships; Discrete choice; Supermarkets; Market channel; Industrial Organization; Marketing; L11; L13; L66.

Ano: 2009

URL: http://purl.umn.edu/51770

Gallardo, Rosa Karina; Chang, Jae Bong.

For over the last thirty years the multinomial logit model has been the standard in choice modeling. Development in econometrics and computational algorithms has led to the increasing tendency to opt for more flexible models able to depict more realistically choice behavior. This study compares three discrete choice models, the standard multinomial logit, the error components logit, and the random parameters logit. Data were obtained from two choice experiments conducted to investigate consumers’ preferences for fresh pears receiving several postharvest treatments. Model comparisons consisted of in-sample and holdout sample evaluations. Results show that product characteristics hence, datasets, influence model performance. We also found that the...

Bernoulli Regression Models: Re-examining Statistical Models with Binary Dependent Variables

Palavras-chave: Multinomial logit model; Error components; Random parameters; Discrete choice; Research Methods/ Statistical Methods; C25; D12.

Ano: 2010

URL: http://purl.umn.edu/61483

Bergtold, Jason S.; Spanos, Aris.

The classical approach for specifying statistical models with binary dependent variables in econometrics using latent variables or threshold models can leave the model misspecified, resulting in biased and inconsistent estimates as well as erroneous inferences. Furthermore, methods for trying to alleviate such problems, such as univariate generalized linear models, have not provided an adequate alternative for ensuring the statistical adequacy of such models. The purpose of this paper is to re-examine the underlying probabilistic foundations of statistical models with binary dependent variables using the probabilistic reduction approach to provide an alternative approach for model specification. This re-examination leads to the development of the Bernoulli...

Estimating Mixed Logit Recreation Demand Models With Large Choice Sets

Palavras-chave: Bernoulli Regression Model; Logistic regression; Generalized linear models; Discrete choice; Probabilistic reduction approach; Model specification; Research Methods/ Statistical Methods.

Ano: 2005

URL: http://purl.umn.edu/19282

Domanski, Adam.

Discrete choice models are widely used in studies of recreation demand. They have proven valuable when modeling situations where decision makers face large choice sets and site substitution is important. However, when the choice set faced by the individual becomes very large (on the order of hundreds or thousands of alternatives), computational limitations make estimation with the full choice set intractable. Sampling of alternatives in a conditional logit framework is an effective method to limit computational burdens while still producing consistent estimates. This method is allowed by the existence of the independence of irrelevant alternatives (IIA) assumption. More advanced mixed logit models account for unobserved preference heterogeneity and...

An Equilibrium Model of Sorting in an Urban Housing Market: The Causes and Consequences of Residential Segregation

Palavras-chave: Sampling of alternatives; Discrete choice; Mixed logit; Conditional logit; Recreational demand; Wisconsin; Fishing; Microeconometrics; Environmental Economics and Policy; Research Methods/ Statistical Methods.

Ano: 2009

URL: http://purl.umn.edu/49413

Bayer, Patrick; McMillan, Robert; Rueben, Kim.

This paper presents a new equilibrium framework for analyzing economic and policy questions related to the sorting of households within a large metropolitan area. We estimate the model using restricted-access Census data that precisely characterize residential and employment locations for households the San Francisco Bay Area, yielding accurate measures of preferences for a wide variety of housing and neighborhood attributes across different types of household. We use these estimates to explore the causes and consequences of racial segregation in general equilibrium. Our results indicate that, given the preference structure of households in the Bay Area, the elimination of racial differences in income and wealth would significantly increase the residential...

Promotion and Fast Food Demand: Where's the Beef?

Palavras-chave: Segregation; Sorting; Housing markets; Locational equilibrium; Residential choice; Discrete choice; Labor and Human Capital; Public Economics; H0; J7; R0; R2.

Ano: 2003

URL: http://purl.umn.edu/28503

Richards, Timothy J.; Padilla, Luis.

Many believe that fast food promotion is a significant cause of the obesity epidemic in North America. Industry members argue that promotion only reallocates brand shares and does not increase overall demand. This study weighs into the debate by specifying and estimating a discrete/continuous model of fast food restaurant choice and food expenditure that explicitly accounts for both spatial and temporal determinants of demand. Estimates are obtained using a unique panel of Canadian fast food consumers. The results show that promotion primarily increases demand and has very little effect on restaurant market shares.

Carbon Mitigation Costs for the Commercial Sector: Discrete-Continuous Choice Analysis of Multifuel Energy Demand

Palavras-chave: Consumer demand; Discrete choice; Fast food; Pricing strategy; Promotion; Spatial modeling; Demand and Price Analysis; Marketing; C25; D12; I18; L66; M31.

Ano: 2007

URL: http://purl.umn.edu/7711

Newell, Richard G.; Pizer, William A..

We estimate a carbon mitigation cost curve for the U.S. commercial sector based on econometric estimation of the responsiveness of fuel demand and equipment choices to energy price changes. The model econometrically estimates fuel demand conditional on fuel choice, which is characterized by a multinomial logit model. Separate estimation of end uses (e.g., heating, cooking) using the 1995 Commercial Buildings Energy Consumption Survey allows for exceptionally detailed estimation of price responsiveness disaggregated by end use and fuel type. We then construct aggregate long-run elasticities, by fuel type, through a series of simulations; own-price elasticities range from -0.9 for district heat services to -2.9 for fuel oil. The simulations form the basis of...

What are the preferences of Dairy Farmers regarding their Work? A Discrete Choice Experiment in the Eastern Part of Switzerland

Palavras-chave: Commercial energy demand; Carbon policy; Climate change; Discrete choice; Resource /Energy Economics and Policy; Q28; Q48; Q41; C35; C15.

Ano: 2005

URL: http://purl.umn.edu/10625

Lips, Markus; Gazzarin, Christian.

The paper analyzes the preferences of dairy farmers with respect to their work by the means of a Discrete Choice experiment, which was carried out in the Eastern part of Switzerland. 304 dairy farmers, who intend to produce milk beyond the abolishment of the milk quota in 2009, were asked to choose between the status quo and alternatives consisting of several combinations with four attributes. The latter comprise work content, terms of employment, holiday per year and income per year. Using a probit model, the willingness to pay/accept is calculated. The results indicate that there is a strong preference to stay in dairy production. In order to achieve both, maintaining the level of utility and moving away from dairy production, an additional income...

Equilibrium Welfare Impacts of the 1990 Clean Air Act Amendments in the Los Angeles Area

Palavras-chave: Discrete choice; Preferences; Work content; Dairy farming; Labor and Human Capital; Land Economics/Use.

Ano: 2008

URL: http://purl.umn.edu/44132

Tra, Constant I..

This study develops a discrete choice locational equilibrium model to evaluate the benefits of the air quality improvements that occurred in the Los Angeles area following the 1990 Clean Air Act Amendments (CAAA). The discrete choice equilibrium approach accounts for the fact that air quality improvements brought about by the 1990 CAAA will change housing choices and prices. The study provides the first application of the discrete choice equilibrium framework (Anas, 1980, Bayer et al., 2005) to the valuation of large environmental changes. The study also provides new evidence for the distributional welfare impacts of the 1990 CAAA in the Los Angeles area. Households’ location choices are modeled according to the random utility framework of McFadden (1973)...

Residential Segregation in General Equilibrium

Palavras-chave: Benefit analysis; Ozone improvement; Locational equilibrium; Discrete choice; Environmental Economics and Policy; H0; Q28; R13; R21.

Ano: 2007

URL: http://purl.umn.edu/7341

Bayer, Patrick; McMillan, Robert; Rueben, Kim.

This paper studies the causes and consequences of racial segregation using a new general equilibrium model that treats neighborhood compositions as endogenous. The model is estimated using unusually detailed restricted Census microdata covering the entire San Francisco Bay Area, and in combination with a rich array of econometric estimates, serves as a powerful tool for carrying out counterfactual simulations that shed light on the causes and consequences of segregation. In terms of causes, and contrasting with prior research, our GE simulations indicate that equalizing income and education across race would be unlikely to result in significant reductions in racial segregation, as minority households would sort into newly formed minority neighborhoods....

Cooperative Mergers and Acquisitions: The Role of Capital Constraints

Palavras-chave: Segregation; General equilibrium; Endogenous sorting; Urban housing market; Locational equilibrium; Counterfactual simulation; Discrete choice; Labor and Human Capital; H0; J7; R0; R2.

Ano: 2004

URL: http://purl.umn.edu/28517