In this paper we develop a two-step survival time approach – a discrete logit model with survival time dummies – that allows for time-varying explanatory variables and interval censored data. Our empirical analysis reveals that the twostep approach outperforms the benchmark logit model with respect to out-ofsample prediction accuracy. Survival time, however, does not play an important role. The...

The Independence of Irrelevant Alternatives (IIA) property of the multinomial logit (MNL) model imposes the restriction of zero covariance between the utilities of pairs of alternatives. This restriction is inappropriate for many choice situations; those in which some pairs or sets of alternatives share the same unobserved attributes. The nested logit (NL) model relaxes the zero covariance rest...

Unique parametrizations of models are very important for parameter interpretation and consistency of estimators. In this paper we analyze the identifiability of a general class of finite mixtures of multinomial logits with varying and fixed effects, which includes the popular multinomial logit and conditional logit models. The application of the general identifiability conditions is demonstrate...

Abstract-A discrete choice model is presented that explicitly recognizes differences in the error structure associated with a single “oddball” alternative within the choice set that has properties not common to the other alternatives. The model purportedly resolves questions related to the use of alternative-specific variables in transportation choice models to capture the effects of attributes...

Balance-sheet data offer a potentially large number of candidate predictors of corporate financial failure. In this paper we provide a novel predictor selection procedure based on non-parametric regression and classification tree method (CART) and test its performance within a standard logit model. We show that a simple logit model with dummy variables created in accordance with the nodes of es...

Theory: The spatial model of elections can better be represented by using conditional logit than by multinomial logit. The spatial model, and random utility models in general, suffer from a failure to adequately consider the sub­ stitutability of candidates sharing similar or identical issue positions. Hypotheses: Multinomial logit is not much better than successive applications of binomial log...

In this paper we develop a model of Bertrand price competition with uncertainty as to the number of bidders. The auction models predict retail price dispersion as an observable feature of price discrimination. The implications of the auction models are tested using a logit model on primary data. Some simulations of the logit model further enrich and capture critical states of chain-store rivalr...

Discrete choice models have played an important role in transportation modeling for the last 25 years. They are namely used to provide a detailed representation of the complex aspects of transportation demand, based on strong theoretical justiications. Moreover, several packages and tools are available to help practionners using these models for real applications, making discrete choice models ...