nep-dcm New Economics Papers
on Discrete Choice Models
Issue of 2012‒07‒14
three papers chosen by
Philip Yu
Hong Kong University

  1. The demand for school meals: an analysis of stated choices by Swiss households By Massimo Filippini; Giuliano Masiero; Diego Medici
  2. Equilibrium Simulation with Microeconometric Models: A New Procedure with an Application to Income Support Policies By Colombino, Ugo
  3. What is the Right Profile for Getting a Job? A Stated Choice Experiment of the Recruitment Process By Eriksson, Stefan; Johansson, Per; Langenskiöld, Sophie

  1. By: Massimo Filippini (Department of Economics, University of Lugano; ETH, Zurich, Switzerland); Giuliano Masiero (Department of Economics and Technology Management, University of Bergamo, Italy; Department of Econonomics, University of Lugano, Switzerland); Diego Medici (Department of Economics, University of Lugano)
    Abstract: In this paper we investigate households' demand for school meals using a stated preferences approach. Data are collected through phone-structured interviews to 905 residents with children in the German-speaking region of Switzerland during 2007. A Poisson model with random effects is used to explore factors affecting the demand for meals at school. The results show that meals price, household income, satisfaction with the current childcare service, family composition, and the area of residence significantly affect the number of school meals demanded. We estimate that the willingness to pay for a school meal is about 11.60 Swiss francs and does not depend on household income.
    Keywords: Demand, school meals service, panel count data, Poisson regression, random effects, willingness to pay
    JEL: D12 H31 H42 J13
    Date: 2012–05
  2. By: Colombino, Ugo (University of Turin)
    Abstract: Many microeconometric models of discrete labour supply include alternative-specific constants meant to account for (possibly besides other factors) the density or accessibility of particular types of jobs (e.g. part-time jobs vs. full-time jobs). The most common use of these models is the simulation of tax-transfer reforms. The simulation is usually interpreted as a comparative statics exercise, i.e. the comparison of different equilibria induced by different policy regimes. The simulation procedure, however, typically keeps fixed the estimated alternative-specific constants. In this note we argue that this procedure is not consistent with the comparative statics interpretation. Since the constants reflect the number of jobs and since the number of people willing to work changes as a response to the change in tax-transfer regime, the new equilibrium induced by the reform implies that the constants should also change. A structural interpretation of the alternative-specific constants leads to the development of a simulation procedure consistent with the comparative statics interpretation. The procedure is illustrated with a simulation of alternative reforms of the income support policies in Italy.
    Keywords: random utility, discrete choice, labour supply, policy simulation, alternative-specific constants, equilibrium simulation
    JEL: C35 C53 H31 J22
    Date: 2012–06
  3. By: Eriksson, Stefan (Uppsala University); Johansson, Per (IFAU); Langenskiöld, Sophie (IFAU)
    Abstract: We study the recruitment behavior of Swedish employers using data from a stated choice experiment. In the experiment, the employers are first asked to describe an employee who recently and voluntarily left the firm, and then to choose between two hypothetical applicants to invite to a job interview or to hire as a replacement for their previous employee. The two applicants differ with respect to characteristics such as gender, age, education, experience, ethnicity, religious beliefs, family situation, weight, and health. Our results show that employers discriminate against applicants who are old, non-European, Muslim, Jewish, obese, have several children, or have a history of sickness absence. Moreover, increasing the firms' cost of uncertainty in hiring – through more firm co-payment in the sickness benefit system – may reduce hiring, but does not affect the degree of discrimination. Also, there are only small differences in the degree of discrimination between different types of recruiters and firms. Overall, our results suggest that the discrimination, at least partially, should reflect statistical discrimination.
    Keywords: stated choice experiment, discrimination, gender, age, ethnicity, obesity, sickness absence
    JEL: J71
    Date: 2012–06

This nep-dcm issue is ©2012 by Philip Yu. It is provided as is without any express or implied warranty. It may be freely redistributed in whole or in part for any purpose. If distributed in part, please include this notice.
General information on the NEP project can be found at For comments please write to the director of NEP, Marco Novarese at <>. Put “NEP” in the subject, otherwise your mail may be rejected.
NEP’s infrastructure is sponsored by the School of Economics and Finance of Massey University in New Zealand.