A specification test for discrete choice models
Mark Chicu and
Matthew Masten
Economics Letters, 2013, vol. 121, issue 2, 336-339
Abstract:
In standard discrete choice models, adding options cannot increase the choice probability of an existing alternative. We use this observation to construct a simple nonparametric specification test by exploiting variation in the choice sets individuals face. We use a multiple testing procedure to determine the particular kind of choice sets that produce violations. We apply these tests to the 1896 US House of Representatives election and reject commonly used discrete choice voting models.
Keywords: Discrete choice models; Specification tests; Multiple hypothesis testing; Voting behavior; Social interactions (search for similar items in EconPapers)
JEL-codes: C12 C52 D72 (search for similar items in EconPapers)
Date: 2013
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Persistent link: https://EconPapers.repec.org/RePEc:eee:ecolet:v:121:y:2013:i:2:p:336-339
DOI: 10.1016/j.econlet.2013.08.024
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