The mixed logit is a framework for incorporating unobserved heterogeneity in discrete choice models in a general way. These models are difficult to estimate because they result in a complicated incomplete data likelihood. This paper proposes a new approach for estimating mixed logit models. The...

A traditional discrete choice model assumes that an individual's decision-making process is based on utility maximization and that the systematic part of the utility function depends on some observable attributes and covariates. These attributes and covariates however can only explain part of...

We shed new light on the performance of Berry, Levinsohn and Pakes' (1995) GMM estimator of the aggregate random coefficient logit model. Based on an extensive Monte Carlo study, we show that the use of Chamberlain's (1987) optimal instruments overcomes most of the problems that have recently...

We investigated the determinants of profitability in leasing companies of Pakistan over the period 2006 to 2008. This study has applied Ordinary Least Square (OLS) Model and Logistic (Logit) models for estimation of results. It is found that the size, net investments in leasing finance and...

The logit function is frequently used in the probabilistic choice problem. The justification is usually provided in a manner that actual utility consists of observed utility and Gumbel random term; the probability then becomes logit. In this paper, we present an alternative explanation of the...

The pregibit discrete choice model is built on a distribution that allows symmetry or asymmetry and thick tails, thin tails or no tails. Thus the model is much richer than the traditional models that are typically used to study behavior that generates discrete choice outcomes. Pregibit nests...

There is an ongoing debate in the literature about the quality content of Chinese exports and to what extent China poses a threat to the market positions of advanced economies. While China's export structure is very similar to that of the advanced world, its export unit values are well below the...

This paper investigates residents' preferences towards cruise tourism investment in their home port. The research uses data collected during the peak cruise season in 2011 at Messina, a port of call in Sicily, Italy. A generalized ordered logit analysis is run to analyse what factors influence...

Informality has long been a salient phenomenon in developing country labor markets, thus has been addressed in several theoretical and empirical research. Turkey, given its economic and demographic dynamics, provides rich evidence for a growing, heterogeneous and multifaceted informal labor...