Quality-adjusted price indexes based on a discrete choice model and a weighted hedonic function are estimated using market data for Liquid Crystal Display (LCD) TVs obtained from a large Internet price comparison service in Japan. Implicit values of attributes were used to unify marginal values...

We estimate the welfare gain from innovations in the LCD TVs that prevailed during the period 2005–2007 in Japan, via consumer surplus that we measure with the aid of discrete choice methods, using market data obtained from an internet price comparison service (Kakaku.com). Further, by the...