Unobserved Preference Heterogeneity in Demand Using Generalized Random Coefficients.

We prove a new identification theorem showing nonparametric identification of the joint distribution of random coefficients in general nonlinear and additive models. This differs from existing random coefficients models by not imposing a linear index structure for the regressors. We then model unobs...

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Publicado en:Journal of Political Economy Vol. 125; no. 4; pp. 1100 - 1149
Autores principales: Lewbel, Arthur, Pendakur, Krishna
Formato: Artículo
Publicado: University of Chicago Press Aug2017
Materias:
Acceso en línea:Ver este registro en EBSCOhost
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        atl: Unobserved Preference Heterogeneity in Demand Using Generalized Random Coefficients.
      aug:
        au:
          Lewbel, Arthur
          Pendakur, Krishna
        affil:
          Boston College
          Simon Fraser University
      su:
        Preference heterogeneity
        Consumers' surplus
        Multilevel models
        Nonparametric statistics
        Energy tax
      sug:
        subj:
          Preference heterogeneity
          Consumers' surplus
          Multilevel models
          Nonparametric statistics
          Energy tax
      ab: We prove a new identification theorem showing nonparametric identification of the joint distribution of random coefficients in general nonlinear and additive models. This differs from existing random coefficients models by not imposing a linear index structure for the regressors. We then model unobserved preference heterogeneity in consumer demand as utility functions with random Barten scales. These Barten scales appear as random coefficients in nonlinear demand equations. Using Canadian data, we compare estimated energy demand functions with and without random Barten scales. We find that unobserved preference heterogeneity substantially affects the estimated consumer surplus costs of an energy tax.
      pubtype: Academic Journal
      doctype: Article
      src: R
    language: English
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