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Testing the Consistency of Nested Logit Models with Utility Maximization

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Author Info
Herriges, J. A.
Kling, C. L.

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Abstract

This paper provides simple necessary conditions for testing the local consistency of nested logit models with stochastic utility maximization. A graphical analysis illustrates the extent to which these conditions extend the range of admissible dissimilarity coefficients beyond the unit interval.

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Publisher Info
Paper provided by Iowa State University, Department of Economics in its series Staff General Research Papers with number 1500.

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Date of creation: 26 May 1999
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Publication status: Published in Economics Letters, 1996, Vol. 50, pp. 33-39 .
Handle: RePEc:isu:genres:1500

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Postal: Iowa State University, Dept. of Economics, 260 Heady Hall, Ames, IA 50011-1070
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Web page: http://www.econ.iastate.edu
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  1. Herriges, Joseph & Kling, Catherine & Phaneuf, Daniel, 1999. "Corner Solution Models of Recreation Demand: A Comparison of Competing Frameworks," Staff General Research Papers 4013, Iowa State University, Department of Economics. [Downloadable!]
    Other versions:
  2. María José Gil-Moltó & Arne Risa Hole, 2003. "Tests for the consistency of three-level nested logit models with utility maximization," Econometrics 0312001, EconWPA, revised 08 Jan 2004. [Downloadable!]
    Other versions:
  3. Kurt Schwabe & Peter Schuhmann & Roy Boyd & Khosrow Doroodian, 2001. "The Value of Changes in Deer Season Length: An Application of the Nested Multinomial Logit Model," Environmental & Resource Economics, European Association of Environmental and Resource Economists, vol. 19(2), pages 131-147, June. [Downloadable!] (restricted)
  4. Schwabe, Kurt A. & Schuhmann, Peter W., 1999. "The Value Of Increasing The Length Of Deer Season In Ohio," 1999 Annual meeting, August 8-11, Nashville, TN 21574, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association). [Downloadable!]
  5. Giulio Zanella, 2004. "Discrete Choice with Social Interactions and Endogenous Memberships," Department of Economics University of Siena 442, Department of Economics, University of Siena. [Downloadable!]
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  6. Machado, Matilde Pinto & Mora, Ricardo & Romero-Medina, Antonio, 2008. "Can We Measure Hospital Quality from Physicians' Choices?," CEPR Discussion Papers 6850, C.E.P.R. Discussion Papers. [Downloadable!] (restricted)
  7. Arne R. Hole & Felix R. FitzRoy, 2003. "Commuting in small towns in rural areas: the case of St Andrews," Urban/Regional 0312001, EconWPA, revised 12 Apr 2004. [Downloadable!]
  8. Kajal Lahiri & Jian Gao, 2001. "Bayesian Analysis of Nested Logit Model by Markov Chain Monte Carlo," Discussion Papers 01-14, University at Albany, SUNY, Department of Economics. [Downloadable!]
  9. Matilde P. Machado, & Ricardo Mora & Antonio Romero- Medina, 2006. "A Methodology To Measure Hospital Quality Using Physicians' Choices Over Training Vacancies," Economics Working Papers we060201, Universidad Carlos III, Departamento de Economía. [Downloadable!]
  10. Bente Halvorsen, 2000. "Comparing Ranking and Contingent Valuation for Valuing Human Lives, Applying Nested and Non-Nested Logit Models," Environmental & Resource Economics, European Association of Environmental and Resource Economists, vol. 17(1), pages 1-19, September. [Downloadable!] (restricted)
  11. Chen, Adam Zhuo & Huffman, Wallace E. & Rozelle, Scott, 2003. "Technical Efficiency Of Chinese Grain Production: A Stochastic Production Frontier Approach," 2003 Annual meeting, July 27-30, Montreal, Canada 22116, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association). [Downloadable!]
  12. W. Shaw & Michael Ozog, 1999. "Modeling Overnight Recreation Trip Choice: Application of a Repeated Nested Multinomial Logit Model," Environmental & Resource Economics, European Association of Environmental and Resource Economists, vol. 13(4), pages 397-414, June. [Downloadable!] (restricted)
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