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We study the descriptive and the normative consequences of price and/or other attributes changes in additive random utility models. We first derive expressions for the transition choice probabilities associated to these changes. A closed-form formula is obtained for the logit. We then use these...
Persistent link: https://www.econbiz.de/10008794436
We show that the number of individuals selecting their worst alternatives within a finite set of alternatives can be written as an alternating sum of the number of individuals having their best choice within subset of alternatives. The identities are then applied to random utility models,...
Persistent link: https://www.econbiz.de/10010899602