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| Author: | Dube, J.-P. |
| Title: | Structural Applications of the Discrete Choice Model |
| Journal: | Marketing Letters
2002 : VOL. 13:3, p. 207-220 |
| Index terms: | STRUCTURAL ANALYSIS MODELS POLICY CONSUMERS |
| Language: | eng |
| Abstract: | A growing body of empirical literature uses structurally- derived economic models to study the nature of competition and to measure explicitly the economic impact of strategic policies. While several approaches have been proposed, the discrete choice demand system has experienced wide usage. The heterogeneous, or "mixed", logit in particular has been widely applied due to its parsimonious structure and its ability to capture flexibly substitution patterns for a large number of differentiated products. The authors outline the derivation of the heterogeneous logit demand system. The authors then present a number of applications of such models to various data sources. Finally, the authors conclude with a discussion of directions for future research in this area. |
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