A Generalized Random Regret Minimization model
Caspar Chorus
Transportation Research Part B: Methodological, 2014, vol. 68, issue C, 224-238
Abstract:
This paper presents, discusses and tests a Generalized Random Regret Minimization (G-RRM) model. The G-RRM model is created by recasting a fixed constant in the attribute-specific regret functions of the conventional RRM model, into an attribute-specific regret-weight. Given that regret-weights of different attributes can take on different values, the G-RRM model allows for additional flexibility when compared to the conventional RRM model, as it allows the researcher to capture choice behavior that equals that implied by, respectively, the canonical linear-in-parameters Random Utility Maximization (RUM) model, the conventional Random Regret Minimization (RRM) model, and hybrid RUM–RRM specifications. Furthermore, for particular values of the attribute-specific regret-weights, models are obtained where regret minimization (i.e., reference dependency and asymmetry of preferences) is present for the attribute, but in a less pronounced way than in a conventional RRM model. When regret-weights are written as binary logit functions, the G-RRM model can be estimated on choice data using conventional software packages. As an empirical proof of concept, the G-RRM model is estimated on a stated route choice dataset as well as on synthetic data, and its outcomes are compared with RUM, RRM, hybrid RUM–RRM and latent class counterparts.
Keywords: Random Utility Maximization; Random Regret Minimization; Choice model; Generalized Random Regret Minimization (search for similar items in EconPapers)
Date: 2014
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (16)
Downloads: (external link)
http://www.sciencedirect.com/science/article/pii/S0191261514001167
Full text for ScienceDirect subscribers only
Related works:
Working Paper: A Generalized Random Regret Minimization Model (2013) 
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:eee:transb:v:68:y:2014:i:c:p:224-238
Ordering information: This journal article can be ordered from
http://www.elsevier.com/wps/find/supportfaq.cws_home/regional
https://shop.elsevie ... _01_ooc_1&version=01
DOI: 10.1016/j.trb.2014.06.009
Access Statistics for this article
Transportation Research Part B: Methodological is currently edited by Fred Mannering
More articles in Transportation Research Part B: Methodological from Elsevier
Bibliographic data for series maintained by Catherine Liu ().