Specification testing of discrete choice models: A note on the use of a nonparametric test

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Model misspecifcation is a serious issue since misspecifcation generally renders statistical inference invalid. However, specifcation testing of discrete choice models is rarely applied. This paper describes a nonparametric test procedure which uses a combination of smoothed residual plots and a test statistic able to detect general misspecifcation. Nonparametric methods require large datasets when the number of independent variables is more than a few. A way to circumvent this problem is indicated, increasing the usefulness of the approach also with limited datasets.

Original languageEnglish
JournalJournal of Choice Modelling
Volume1
Issue number1
Pages (from-to)26-39
Number of pages14
ISSN1755-5345
DOIs
Publication statusPublished - 1 Jan 2008

    Research areas

  • Discrete choice, Functional form, Nonparametric, Specifcation test

ID: 199173402