[CM] Choice Models - Stata

1 Stata Choice MODELSREFERENCE MANUALRELEASE 17 A Stata Press PublicationStataCorp LLCC ollege Station, Texas Copyrightc 1985 2021 StataCorp LLCAll rights reservedVersion 17 Published by Stata Press, 4905 Lakeway Drive, College Station, Texas 77845 Typeset in TEXISBN-10: 1-59718-325-3 ISBN-13: 978-1-59718-325-3 This manual is protected by copyright. All rights are reserved. No part of this manual may be reproduced, storedin a retrieval system, or transcribed, in any form or by any means electronic, mechanical, photocopy, recording, orotherwise without the prior written permission of StataCorp LLC unless permitted subject to the terms and conditionsof a license granted to you by StataCorp LLC to use the software and documentation.

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4 Typehelp copyrightwithin suggested citation for this software isStataCorp. : Release 17. Statistical Software. College Station, TX: StataCorp .. Introduction1 Intro 1 .. Interpretation of Choice models4 Intro 2 .. Data layout17 Intro 3 .. Descriptive statistics21 Intro 4 .. Estimation commands27 Intro 5 .. Models for discrete choices32 Intro 6 .. Models for rank-ordered alternatives56 Intro 7 .. Models for panel data65 Intro 8 .. Random utility Models , assumptions, and estimation73cmchoiceset.

5 Tabulate Choice sets78cmclogit .. Conditional logit (McFadden s) Choice model87cmclogit postestimation .. Postestimation tools for cmclogit 103cmmixlogit .. Mixed logit Choice model 109cmmixlogit postestimation .. Postestimation tools for cmmixlogit 128cmmprobit .. Multinomial probit Choice model 132cmmprobit postestimation .. Postestimation tools for cmmprobit 160cmrologit .. Rank-ordered logit Choice model 166cmrologit postestimation .. Postestimation tools for cmrologit 184cmroprobit.

6 Rank-ordered probit Choice model 187cmroprobit postestimation .. Postestimation tools for cmroprobit 201cmsample .. Display reasons for sample exclusion 208cmset .. Declare data to be Choice model data 217cmsummarize .. Summarize variables by chosen alternatives 226cmtab .. Tabulate chosen alternatives 232cmxtmixlogit .. Panel-data mixed logit Choice model 242cmxtmixlogit postestimation .. Postestimation tools for cmxtmixlogit 260margins .. Adjusted predictions, predictive margins, and marginal effects 264nlogit.

7 Nested logit regression 289nlogit postestimation .. Postestimation tools for nlogit 313 Glossary ..318 Subject and author index ..319iCross-referencing the documentationWhen reading this manual, you will find references to other Stata manuals, for example,[U] 27 Overview of Stata estimation commands; [R]regress; and [D]reshape. The first ex-ample is a reference to chapter 27,Overview of Stata estimation commands, in theUser s Guide;the second is a reference to theregressentry in theBase Reference Manual.

8 And the third is areference to thereshapeentry in theData Management Reference the manuals in the Stata Documentation have a shorthand notation:[GSM]Getting Started with Stata for Mac[GSU]Getting Started with Stata for Unix[GSW]Getting Started with Stata for Windows[U] Stata User s Guide[R] Stata Base Reference Manual[BAYES] Stata Bayesian Analysis Reference Manual[CM] Stata Choice Models Reference Manual[D] Stata Data Management Reference Manual[DSGE] Stata Dynamic Stochastic General Equilibrium Models Reference Manual[ERM] Stata Extended Regression Models Reference Manual[FMM]

9 Stata Finite Mixture Models Reference Manual[FN] Stata Functions Reference Manual[G] Stata Graphics Reference Manual[IRT] Stata Item Response Theory Reference Manual[LASSO] Stata Lasso Reference Manual[XT] Stata Longitudinal-Data/Panel-Data Reference Manual[META] Stata Meta-Analysis Reference Manual[ME] Stata Multilevel Mixed-Effects Reference Manual[MI] Stata Multiple-Imputation Reference Manual[MV] Stata Multivariate Statistics Reference Manual[PSS] Stata Power, Precision, and Sample-Size Reference Manual[P] Stata Programming Reference Manual[RPT] Stata Reporting Reference Manual[SP] Stata Spatial Autoregressive Models Reference Manual[SEM] Stata Structural Equation Modeling Reference Manual[SVY] Stata Survey Data Reference Manual[ST] Stata Survival Analysis Reference Manual[TABLES] Stata Customizable Tables and Collected Results Reference Manual[TS] Stata Time-Series Reference Manual[TE]

10 Stata Treatment-Effects Reference Manual:Potential Outcomes/Counterfactual Outcomes[ I ] Stata Index[M]Mata Reference ManualiiTitleIntro IntroductionDescriptionRemarks and examplesDescriptionChoice Models (CM) are Models for data with outcomes that are choices. The choices are selectedby a decision maker, such as a person or a business, from a set of possible alternatives. For instance,we could model choices made by consumers who select a breakfast cereal from several differentbrands.