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Attitudes and Latent Class Choice Models using Machine learning

Lorena Torres Lahoz, Francisco Camara Pereira, Georges Sfeir, Ioanna Arkoudi, Mayara Moraes Monteiro, Carlos Lima Azevedo

arXiv 20 Feb 2023 · Econometrics · publishedJournal of Choice Modelling (2023) · 18 citations (OpenAlex)

arXiv:2302.09871 · PDF · DOI · OpenAlex · Extracted main text

Abstract

Latent Class Choice Models (LCCM) are extensions of discrete choice models (DCMs) that capture unobserved heterogeneity in the choice process by segmenting the population based on the assumption of preference similarities. We present a method of efficiently incorporating attitudinal indicators in the specification of LCCM, by introducing Artificial Neural Networks (ANN) to formulate latent variables constructs. This formulation overcomes structural equations in its capability of exploring the relationship between the attitudinal indicators and the decision choice, given the Machine Learning (ML) flexibility and power in capturing unobserved and complex behavioural features, such as attitudes and beliefs. All of this while still maintaining the consistency of the theoretical assumptions presented in the Generalized Random Utility model and the interpretability of the estimated parameters. We test our proposed framework for estimating a Car-Sharing (CS) service subscription choice with stated preference data from Copenhagen, Denmark. The results show that our proposed approach provides a complete and realistic segmentation, which helps design better policies.

Citation extraction

38
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distinct cited
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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
1Walker, J., & Ben-Akiva, M (2002) Generalized random utility model1.000114100%
2Sifringer, B., Lurkin, V., & Alahi, A (2020) Enhancing discrete choice models with representation learning0.64422100%
3Hess, S., Ben-Akiva, M., Gopinath, D., Walker, J (2009) Taste heterogeneity, correlation, and elasticities in latent class choice models, in Transportation Research Board 88th Annual M…0.64422100%
4Hess, S (2014) Latent class structures: Taste heterogeneity and beyond, Handbook of Choice Modelling, pp0.64422100%
5Arkoudi, I., Azevedo, C. L., & Pereira, F. C (2021) Combining Discrete Choice Models and Neural Networks through Embeddings: Formulation, Interpretability and Performance self0.64422100%
6Likert, R (1932) A technique for the measurement of attitudes0.64422100%
7McFadden, D (1986) The choice theory approach to market research0.64422100%
8Motoaki, Y., & Daziano, R. A (2015) A hybrid-choice latent-class model for the analysis of the effects of weather on cycling demand0.64422100%
9Hurtubia, R., Nguyen, M. H., Glerum, A., & Bierlaire, M (2014) Integrating psychometric indicators in latent class choice models0.58531100%
10Frenkel, A., Shiftan, Y., Gal-Tzur, A., Tavory, S. S., Lerner, O., A… (2021) Share More: Shared MObility Rewards - Summary report self0.51121100%

Showing the top 10 of 37 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
1The Mixed Aggregate Preference Logit Model: A Machine Learning Approach to Modeling Unobserved Heterogeneity in Discrete Choice Analysis0.40511