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Identification in the random utility model

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  • Turansick, Christopher

Abstract

The random utility model is known to be unidentified, but there are times when the model admits a unique representation. We offer two characterizations for the existence of a unique random utility representation. Our first characterization puts conditions on a graphical representation of the data set. Non-uniqueness arises when multiple inflows can be assigned to multiple outflows on this graph. Our second characterization provides a direct test for uniqueness given a random utility representation. We also show that the support of a random utility representation is identified if and only if the representation itself is identified.

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  • Turansick, Christopher, 2022. "Identification in the random utility model," Journal of Economic Theory, Elsevier, vol. 203(C).
    • Handle: RePEc:eee:jetheo:v:203:y:2022:i:c:s0022053122000795
    DOI: 10.1016/j.jet.2022.105489
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    Cited by:

    1. Yaron Azrieli & John Rehbeck, 2022. "Marginal stochastic choice," Papers 2208.08492, arXiv.org.
    2. Jean-Paul Doignon & Kota Saito, 2022. "Adjacencies on random ordering polytopes and flow polytopes," Papers 2207.06925, arXiv.org.
    3. Chambers, Christopher P. & Masatlioglu, Yusufcan & Turansick, Christopher, 0. "Correlated choice," Theoretical Economics, Econometric Society.
      • Christopher P. Chambers & Yusufcan Masatlioglu & Christopher Turansick, 2021. "Correlated Choice," Papers 2103.05084, arXiv.org, revised Mar 2023.
    4. Christopher Turansick, 2023. "On Graphical Methods in Stochastic Choice," Papers 2303.14249, arXiv.org, revised Sep 2023.
    5. Apesteguia, Jose & Ballester, Miguel A., 2023. "Random utility models with ordered types and domains," Journal of Economic Theory, Elsevier, vol. 211(C).
    6. Daniele Caliari & Henrik Petri, 2024. "Irrational Random Utility Models," Papers 2403.10208, arXiv.org.

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    More about this item

    Keywords

    Random utility; Stochastic choice; Identification;
    All these keywords.

    JEL classification:

    • D01 - Microeconomics - - General - - - Microeconomic Behavior: Underlying Principles

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