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Dynamic Random Utility Modeling: A Monte Carlo Analysis

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Author Info
Robert L. Hicks
Kurt E. Schnier

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Abstract

Applied studies of commercial fishing have largely ignored the intertemporal aspects of repeated site choices. For many fisheries, fishermen might choose a dynamically optimal cruise trajectory rather than myopic day-to-day strategies and a model that ignores these considerations will likely lead to biased parameter estimates and poor policy guidance. A dynamic random utility model is developed that utilizes the same information as static site-choice models but is entrenched in the principles of dynamic optimization. Using Monte Carlo analysis, we evaluate the performance of this estimator as compared to the static model for a variety of simulated fishery types. Copyright 2006 American Agricultural Economics Association.

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Publisher Info
Article provided by American Agricultural Economics Association in its journal American Journal of Agricultural Economics.

Volume (Year): 88 (2006)
Issue (Month): 4 (November)
Pages: 816-835
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Handle: RePEc:bla:ajagec:v:88:y:2006:i:4:p:816-835

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  1. Hicks, Rob & Schnier, Kurt, 2006. "A Spatial Model of Dolphin Avoidance in the Eastern Tropical Pacific Ocean," 2006 Annual meeting, July 23-26, Long Beach, CA 21290, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association). [Downloadable!]
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  2. Chen, Min & Lupi, Frank, 2009. "Does economic endogeneity of site facilities in recreation demand models lead to statistical endogeneity?," 2009 Annual Meeting, July 26-28, 2009, Milwaukee, Wisconsin 49449, Agricultural and Applied Economics Association. [Downloadable!]
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This page was last updated on 2009-10-25.


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