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The reverse logit has been used with some success to predict trip demand, despite the lack of a theoretically plausible foundation. In this article, it is shown that the reverse logit can be derived from demand theory. Specifically, when demand is modeled with a fixed effects Poisson estimator,...
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In order to control for censoring and the integer nature of trip demand, the use of count data models in travel cost analysis is attractive. Two such models, the Poisson and negative binomial, are discussed. Robust estimation techniques that loosen potentially stringent distributional...
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The TOBIT estimator of the linear model is commonly used to control for censoring. However, when predicting either demand or consumer surplus, simply substituting the resulting coefficient stimates back into the linear functional form is incorrect. This failure stems from the non-linear impact...
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Application of the tobit model to estimate economic welfare is transferred from the consumer side to the producer side. Supply functions are estimated for multioutput irrigators in the Pacific Northwest. Empirical procedures are then developed for computing expected producer's surplus from the...
Persistent link: https://www.econbiz.de/10012998317
The paper develops a theoretical foundation for using count data models in travel cost analysis. Two micro models are developed: a restricted choice model and a repeated discrete choice model. We show that both models lead to identical welfare measures
Persistent link: https://www.econbiz.de/10012998571
Due to the weak behavioral foundations of aggregate demand models, zonal travel cost models have been largely abandoned in favor of models based on individual observations. However, sample selection difficulties in individual-observation models often require the use of distribution-sensitive...
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