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Deep Learning for Choice Modeling

Zhongze Cai, Hanzhao Wang, Kalyan Talluri, Xiaocheng Li

arXiv 19 Aug 2022 · Statistics — Machine Learning · 6 citations (OpenAlex)

arXiv:2208.09325 · PDF · DOI · OpenAlex · Extracted main text

Abstract

Choice modeling has been a central topic in the study of individual preference or utility across many fields including economics, marketing, operations research, and psychology. While the vast majority of the literature on choice models has been devoted to the analytical properties that lead to managerial and policy-making insights, the existing methods to learn a choice model from empirical data are often either computationally intractable or sample inefficient. In this paper, we develop deep learning-based choice models under two settings of choice modeling: (i) feature-free and (ii) feature-based. Our model captures both the intrinsic utility for each candidate choice and the effect that the assortment has on the choice probability. Synthetic and real data experiments demonstrate the performances of proposed models in terms of the recovery of the existing choice models, sample complexity, assortment effect, architecture design, and model interpretation.

Citation extraction

33
references
68
in-text mentions
33
distinct cited
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main-text words

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Most heavily cited references

The works this paper leans on most, across its whole bibliography — not restricted to papers in our corpus. Ranked by composite intensity, which combines how often a work is mentioned, how many sections mention it, and how much of that falls in the main text rather than the appendix.

ReferenceIntensityMentionsSectionsMain text
1Wang, Shenhao, Baichuan Mo, Jinhua Zhao (2020) Deep neural networks for choice analysis: Architecture design with alternative-specific utility functions1.00053100%
2Sifringer, Brian, Virginie Lurkin, Alexandre Alahi (2020) Enhancing discrete choice models with representation learning0.9285480%
3Chen, Yi-Chun, Velibor V Misić (2022) Decision forest: A nonparametric approach to modeling irrational choice0.87452100%
4Farias, Vivek, Srikanth Jagabathula, Devavrat Shah (2009) A data-driven approach to modeling choice0.87452100%
5Han, Yafei, Christopher Zegras, Francisco Camara Pereira, Moshe Ben-… (2020) A neural-embedded choice model: Tastenet-mnl modeling taste heterogeneity with flexibility and interpretability0.8435360%
6Bentz, Yves, Dwight Merunka (2000) Neural networks and the multinomial logit for brand choice modelling: a hybrid approach0.81142100%
7Chen, Ningyuan, Guillermo Gallego, Zhuodong Tang (2021) Estimating discrete choice models with random forests0.7373367%
8Blanchet, Jose, Guillermo Gallego, Vineet Goyal (2016) A markov chain approximation to choice modeling0.64422100%
9McFadden, Daniel, Kenneth Train (2000) Mixed mnl models for discrete response0.64422100%
10Simsek, A Serdar, Huseyin Topaloglu (2018) An expectation-maximization algorithm to estimate the parameters of the markov chain choice model0.5853333%

Showing the top 10 of 33 scored citations.

Cited by, within the corpus

arXiv econ.EM papers that cite this one, ranked by how heavily they lean on it.

Citing paperIntensityMentionsSections
1Amortized Inference for Correlated Discrete Choice Models via Equivariant Neural Networks0.40511