TY - JOUR
T1 - Panel data analysis of household brand choices
AU - Chintagunta, Pradeep
AU - Kyriazidou, Ekaterini
AU - Perktold, Josef
N1 - Funding Information:
We would like to thank Andrew Chesher, Jim Heckman, Bo Honoré, Cheng Hsiao, Jean-Marc Robin, Peter Rossi, three anonymous referees, and seminar participants at various institutions for useful comments. The paper was presented at the 1998 Econometrics Camp, Catalina Island, California, at the 1998 Econometrics Group conference, Bristol, and at the 1999 Econometric Society European Meetings, Santiago de Compostela. We are grateful to the participants for helpful suggestions. André Bonfrer provided excellent research assistance. The second author gratefully acknowledges financial support from NSF.
PY - 2001/7
Y1 - 2001/7
N2 - The paper examines theoretical and empirical issues arising in panel data studies of household brand choices. We develop a dynamic utility maximization model with habit formation that yields a discrete choice model that is linear in a vector of observable individual and brand characteristics, the lagged choice, an unobservable permanent individual/brand-specific effect, and an unobservable time-varying error component. We estimate the model using panel data on household yogurt purchases. We compare traditional estimation procedures with the method recently proposed by Honoré and Kyriazidou. Panel data discrete choice models with lagged dependent variables, Econometrica 68 839-874. The methods' robustness with respect to underlying assumptions is investigated in Monte Carlo simulations.
AB - The paper examines theoretical and empirical issues arising in panel data studies of household brand choices. We develop a dynamic utility maximization model with habit formation that yields a discrete choice model that is linear in a vector of observable individual and brand characteristics, the lagged choice, an unobservable permanent individual/brand-specific effect, and an unobservable time-varying error component. We estimate the model using panel data on household yogurt purchases. We compare traditional estimation procedures with the method recently proposed by Honoré and Kyriazidou. Panel data discrete choice models with lagged dependent variables, Econometrica 68 839-874. The methods' robustness with respect to underlying assumptions is investigated in Monte Carlo simulations.
KW - Brand choice
KW - Dynamic discrete choice
KW - Panel data
UR - http://www.scopus.com/inward/record.url?scp=0347768036&partnerID=8YFLogxK
UR - http://www.scopus.com/inward/citedby.url?scp=0347768036&partnerID=8YFLogxK
U2 - 10.1016/S0304-4076(01)00041-0
DO - 10.1016/S0304-4076(01)00041-0
M3 - Article
AN - SCOPUS:0347768036
VL - 103
SP - 111
EP - 153
JO - Journal of Econometrics
JF - Journal of Econometrics
SN - 0304-4076
IS - 1-2
ER -