Entropy methods for identifying hedonic models

This paper contributes to the literature on hedonic models in two ways. First, it makes use of Queyrannes reformulation of a hedonic model in the discrete case as a network ow problem in order to pro- vide a proof of existence and integrality of a hedonic equilibrium and e¢ cient computational techniques of hedonic prices. Second, elaborat- ing on entropic methods developped in Galichon and Salanié (2014), this paper proposes a new identi…cation strategy for hedonic models in a single market. This methodology allows one to introduce hetero- geneities in both consumersand producersattributes and to recover producerspro…ts and consumersutilities based on the observation of production and consumption patterns and the set of hedonic prices.