Endogeneity and correlated alternatives are major concerns to be addressed in travel behavior analysis. However, these issues have been rarely dealt with simultaneously in advanced discrete choice models. This study proposed a multinomial probit model that incorporates the instrumental variable...

In absence of randomized controlled experiments, identification is often aimed via instrumental variable (IV) strategies, typically two-stage least squares estimations. According to Bayes' rule, however, under a low ex ante probability that a hypothesis is true (e.g. that an excluded instrument...