Simulation and Estimation of Hedonic Models

James Heckman, Rosa Matzkin and Lars Nesheim

No 843, IZA Discussion Papers from Institute of Labor Economics (IZA)

Abstract: Making use of restrictions imposed by equilibrium, theoretical progress has been made on the nonparametric and semiparametric estimation and identification of scalar additive hedonic models (Ekeland, Heckman, and Nesheim, 2002) and scalar nonadditive hedonic models (Heckman, Matzkin, and Nesheim, 2002). However, little is known about the practical aspects of estimating such models or of the characteristics of equilibrium in such models. This paper presents computational and analytical results that fill some of these gaps. We simulate and estimate examples of equilibrium in the additive hedonic models and provide evidence on the performance of several estimation techniques. We also simulate examples of equilibria in nonadditive models and provide evidence on the performance of the nonadditive estimation techniques developed in Heckman, Matzkin, and Nesheim (2002).

Keywords: hedonic models; nonparametric methods; simulation; Monte Carlo; additive models; nonadditive models (search for similar items in EconPapers)
JEL-codes: C31 (search for similar items in EconPapers)
Pages: 105 pages
Date: 2003-08
New Economics Papers: this item is included in nep-cmp, nep-ecm and nep-ltv
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (18)

Published - published in: T. Kehoe, T.N. Srinivasan, and J. Whalley (eds.)- Frontiers in Applied General Equilibrium, Cambridge, 2005, 277 - 340

Downloads: (external link)
https://docs.iza.org/dp843.pdf (application/pdf)

Related works:
Working Paper: Simulation and Estimation of Hedonic Models (2003)
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:iza:izadps:dp843

Ordering information: This working paper can be ordered from
IZA, Margard Ody, P.O. Box 7240, D-53072 Bonn, Germany

Access Statistics for this paper

More papers in IZA Discussion Papers from Institute of Labor Economics (IZA) IZA, P.O. Box 7240, D-53072 Bonn, Germany. Contact information at EDIRC.
Bibliographic data for series maintained by Holger Hinte ().