Grigolon, Laura; Verboven, Frank - In: The Review of Economics and Statistics 96 (2014) 5, pp. 916-935
We propose a random coefficients nested logit (RCNL) model to compare the tractable nested logit (NL) model with the more complex random coefficients logit (RC) model. After a simulation study, we use data on the European automobile market. Both the NL and RC models are rejected against the RCNL...