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A practical test for the choice of mixing distribution in a discrete choice model

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Author Info
Mogens Fosgerau (Danish Transport Research Institute)
Michel Bierlaire (Ecole Polytechnique Fédérale de Lausanne)

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Abstract

The choice of a specific distribution for random parameters of a discrete choice model is a critical issue in transportation analysis. Indeed, various pieces of research have demonstrated that an inappropriate choice of the distribution may lead to serious biases in model forecast and in the estimated means of random parameters. In this paper we propose a practical test, based on seminonparametric techniques. The test is analyzed both on synthetic and real data, and is shown to be simple and powerful.

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File URL: http://129.3.20.41/eps/em/papers/0512/0512002.pdf
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Publisher Info
Paper provided by EconWPA in its series Econometrics with number 0512002.

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Length: 23 pages
Date of creation: 05 Dec 2005
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Handle: RePEc:wpa:wuwpem:0512002

Note: Type of Document - pdf; pages: 23
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Web page: http://129.3.20.41

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Related research
Keywords: Seminonparametric discrete choice mixed logit value of time

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Find related papers by JEL classification:
C1 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods: General
C2 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables
C3 - Mathematical and Quantitative Methods - - Multiple or Simultaneous Equation Models; Multiple Variables
C4 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods: Special Topics
C5 - Mathematical and Quantitative Methods - - Econometric Modeling
C8 - Mathematical and Quantitative Methods - - Data Collection and Data Estimation Methodology; Computer Programs

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  1. Fosgerau, Mogens & Hjort, Katrine & Vincent Lyk-Jensen, Stéphanie, 2007. "An approach to the estimation of the distribution of marginal valuations from discrete choice data," MPRA Paper 3907, University Library of Munich, Germany. [Downloadable!]
  2. Ricardo Scarpa & Mara Thiene & Francesco Marangon, 2007. "Using flexible taste distributions to value collective reputation for environmentally-friendly production methods," Working Papers in Economics 07/24, University of Waikato, Department of Economics. [Downloadable!]
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