VALUING PRODUCT ATTRIBUTES USING SINGLE MARKET DATA - A COMPARISON OF HEDONIC AND DISCRETE CHOICE APPROACHES

• 成果类型: Article
• 署名作者: CROPPER, ML; DECK, L; KISHOR, N; MCCONNELL, KE
• 署名单位: The World Bank; ABT Associates; Resources for the Future
• 刊物名称: REVIEW OF ECONOMICS AND STATISTICS
• ISSN/ISSBN: 0034-6535
• DOI: 10.2307/2109427
• 发表日期: 1993-05
• 页码: 225-232
• 关键词: implicit markets; price models

摘要

This paper compares, via simulation, the performance of the multinomial logit and hedonic models in estimating consumer preferences for product attributes. We ascribe preferences over the attributes of houses to a population of consumers, and, by having them bid for a set of houses calculate equilibrium prices. The resulting data are used to estimate the two models. We find that the gradient of a linear Box-Cox hedonic price function estimates marginal attribute bids at least as well as a linear logit model, although the difference between the two is small when some variables are not observed or are replaced by proxies. The logit model, however, outperforms the hedonic model in valuing non-marginal attribute changes. This is true when the researcher knows the true form of consumers' utility functions and when the utility function must be approximated.