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Modeling Constrained Choice Behaviour in Regulated Housing Markets by Means of Discrete Choice Experiments and Universal Logit Models: An Application to the Residential Choice Behaviour of Divorcees

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  • H Timmermans
  • L van Noortwijk
  • H Oppewal
  • P van der Waerden

Abstract

In present choice models, it is assumed that the composition of individuals' choice sets does not affect their utilities. Preferences and choice behaviour are assumed to be independent of context. The constraints that individuals face are not modeled explicitly in the residential choice literature. In this paper we aim to propose and demonstrate how discrete choice experiments and universal logit models may be used to estimate choice models that permit one to measure and test the effects of constraints on housing choice behaviour and residential preferences. In particular, we wish to test whether preferences of divorcees are invariant with differential access to housing-market segments. The empirical findings obtained in the present study of residential choices of divorcees generally support the idea that access to particular segments affects the preference for other segments differentially. Estimated attribute effects were in anticipated directions, although not all were significant. The choice model, including the effects representing access to particular housing-market segments, outperformed the multinomial logit model at conventional probability levels, and odds ratios were shown to change dramatically as a function of the constraints on residential choice behaviour.

Suggested Citation

  • H Timmermans & L van Noortwijk & H Oppewal & P van der Waerden, 1996. "Modeling Constrained Choice Behaviour in Regulated Housing Markets by Means of Discrete Choice Experiments and Universal Logit Models: An Application to the Residential Choice Behaviour of Divorcees," Environment and Planning A, , vol. 28(6), pages 1095-1112, June.
    • Handle: RePEc:sae:envira:v:28:y:1996:i:6:p:1095-1112
    DOI: 10.1068/a281095
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    References listed on IDEAS

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    1. Nancy Landale & Avery Guest, 1985. "Constraints, Satisfaction and Residential Mobility: Speare’s Model Reconsidered," Demography, Springer;Population Association of America (PAA), vol. 22(2), pages 199-222, May.
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    1. Eric J E Molin & Harry J P Timmermans, 2003. "Testing Hierarchical Information Integration Theory: The Causal Structure of Household Residential Satisfaction," Environment and Planning A, , vol. 35(1), pages 43-58, January.
    2. M P G Schellekens & H J P Timmermans, 1997. "A Conjoint-Based Simulation Model of Housing-Market Clearing Processes: Theory and Illustration," Environment and Planning A, , vol. 29(10), pages 1831-1846, October.
    3. Toshihiro Osaragi, 2002. "Accessibility Evaluation: The Effects of the Free Return System on Choice Behaviour for Public Libraries," Environment and Planning B, , vol. 29(5), pages 637-654, October.
    4. Cynthia Chen & Jason Chen & Harry Timmermans, 2009. "Historical Deposition Influence in Residential Location Decisions: A Distance-Based GEV Model for Spatial Correlation," Environment and Planning A, , vol. 41(11), pages 2760-2777, November.
    5. Bruce Walker & Alex Marsh & Mark Wardman & Pat Niner, 2002. "Modelling Tenants' Choices in the Public Rented Sector: A Stated Preference Approach," Urban Studies, Urban Studies Journal Limited, vol. 39(4), pages 665-688, April.
    6. Taede Tillema & Bert van Wee & Dick Ettema, 2010. "Road Pricing and Relocation Decisions of Dutch Households," Urban Studies, Urban Studies Journal Limited, vol. 47(14), pages 3013-3033, December.
    7. Tillema, Taede & van Wee, Bert & Ettema, Dick, 2010. "The influence of (toll-related) travel costs in residential location decisions of households: A stated choice approach," Transportation Research Part A: Policy and Practice, Elsevier, vol. 44(10), pages 785-796, December.

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