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USING ELICITED CHOICE PROBABILITIES TO ESTIMATE RANDOM UTILITY MODELS: PREFERENCES FOR ELECTRICITY RELIABILITY*

2010/05/01 by Asher A. Blass, Asher Blass, Saul Lach +1 · 125 citations
Economics, Econometrics and Finance · Engineering · #Ask price #Computer science #Econometrics #Economic and Environmental Valuation #Economics #Electricity #Engineering #Estimation #Expected utility hypothesis #Housing Market and Economics #Mathematical economics #Microeconomics #Power (physics) #Preference #Reliability (semiconductor) #Revealed preference #Water resources management and optimization

paper · doi:10.1111/j.1468-2354.2010.00586.x

published in International Economic Review 51(2), 421-440 (Wiley)

openalex publication_date 2010/05/01 · openalex created_date 2025/10/10 · openalex updated_date 2026/07/29

Abstract

When choice data are not available, researchers studying preferences sometimes ask respondents to state the actions they would choose in choice scenarios. Data on stated choices are then used to estimate random utility models, as if they are data on actual choices. Stated and actual choices may differ because researchers typically provide respondents less information than they would have in actuality. Elicitation of choice probabilities overcomes this problem by permitting respondents to express uncertainty about behavior. This article shows how to use elicited choice probabilities to estimate random utility models and reports estimates of preferences for electricity reliability.

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