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We show that in a unit demand discrete choice framework with at least three goods, demand cannot be additively separable in own price. This result sharpens the analogous result of Jaffe and Weyl (2010) in the case of linear demand and has implications for testing of the discrete choice...
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Using results from Convex Analysis, we investigate a novel approach to identification and estimation of discrete-choice models that we call the mass transport approach . We show that the conditional choice probabilities and the choice-specific payoffs in these models are related in the sense of...
Persistent link: https://www.econbiz.de/10011798951
Using results from convex analysis, we investigate a novel approach to identification and estimation of discrete choice models which we call the “Mass Transport Approach” (MTA). We show that the conditional choice probabilities and the choice specific payoffs in these models are related in...
Persistent link: https://www.econbiz.de/10013002752
We show that in a unit demand discrete choice framework with at least three goods, demand cannot be additively separable in own price. This result sharpens the analogous result of Jaffe and Weyl (2010) in the case of linear demand and has implications for testing of the discrete choice...
Persistent link: https://www.econbiz.de/10010572147
This note extends the Brock and Durlauf (2001) model of discrete choice with social interactions to a setting with multiple locations. This generalization leads to a closed-form measure of the quot;social multiplierquot; akin to that of Glaeser, Sacerdote, and Scheinkman (2003). The dynamics of...
Persistent link: https://www.econbiz.de/10012722886