Investigating heteroscedasticity using the over-dispersion parameter in a travel cost model

Arwin Pang ()
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Arwin Pang: National Chung Hsing University

Letters in Spatial and Resource Sciences, 2022, vol. 15, issue 3, No 12, 507-516

Abstract: Abstract This study attempts to discuss the heteroscedasticity in a travel cost model by introducing a parameterized over-dispersion parameter. The Poisson and the negative binomial models are included in the study. The data set is from the National Survey of Fishing, Hunting, and Wildlife-Associated Recreation that was sponsored by the U.S. Fish & Wildlife Service (USFWS) in 2006. The results indicate that the negative binomial model that takes heteroscedasticity into consideration is better than the Poisson model and the other negative binomial model that treats the over-dispersion parameter as a constant. Education and travel cost are found to have negative and significant effects on the over-dispersion parameter.

Keywords: Travel cost model; Heteroscedasticity (search for similar items in EconPapers)
JEL-codes: Q26 (search for similar items in EconPapers)
Date: 2022
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DOI: 10.1007/s12076-022-00308-6

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