Current Issues in Discrete Choice Modeling

Keane, Michael (1997): Current Issues in Discrete Choice Modeling. Published in: Marketing Letters , Vol. 8:3, (1997): pp. 307-322.

Abstract

Until recently, computational constraints forced researchers in the discrete choice area to limit themselves to very simple statistical models, such as the multinomial logit (MNL), in which choice probabilities could be evaluated quickly on a computer. But the MNL only makes sense as a behavioral model under very special circumstances. Recent advances in computation make it possible to estimate richer behavioral models that generate very complex choice probability expressions. This paper discusses a number of possible avenues for future research in the discrete choice area in light of these developments.

• Item Type: MPRA Paper
• Language: English
• Keywords: discrete choice, brand choice, choice dynamics, stated preference, contingent valuation, purchase quantity, new products
• Subjects: C - Mathematical and Quantitative Methods > C1 - Econometric and Statistical Methods and Methodology: General > C15 - Statistical Simulation Methods: General; C - Mathematical and Quantitative Methods > C3 - Multiple or Simultaneous Equation Models ; Multiple Variables > C35 - Discrete Regression and Qualitative Choice Models ; Discrete Regressors ; Proportions; C - Mathematical and Quantitative Methods > C5 - Econometric Modeling > C53 - Forecasting and Prediction Methods ; Simulation Methods; D - Microeconomics > D1 - Household Behavior and Family Economics > D12 - Consumer Economics: Empirical Analysis; M - Business Administration and Business Economics ; Marketing ; Accounting ; Personnel Economics > M3 - Marketing and Advertising > M31 - Marketing

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