Multinomial Choice in NLOGIT
NLOGIT has become the standard package for estimation and simulation of multinomial choice models. The most recent developments in multinomial choice modeling, including generalized mixed logit, random regret models, scaled MNL, latent class and WTP space specifications are provided. Among the many other formulations included in NLOGIT Version 6 are: up to four level nested logit models; random parameters (mixed logit) models with nonlinear utility functions; multinomial probit, the generalized nested logit model, and several new formulations for panel data and stated choice experiments. NLOGIT is the only large package for multinomial choice modeling that contains the full set of features of an integrated econometrics and statistics program (LIMDEP).
NLOGIT 6 includes all of LIMDEP 11 plus the full set of features in NLOGIT, including the additional data management features, estimators for many types of multinomial choice models, and the program simulator.
NLOGIT supports a greater range of models for discrete choice than any other package. These include state of the art estimators for the mixed (random parameters) logit model, WTP space, random regret, and nonlinear utility models. The basic multinomial logit model, nested logit models up to four levels, and the multinomial probit model are also supported.
NLOGIT contains all of the discrete choice estimators supported by LIMDEP, plus the extensions of the discrete choice models which do not appear in LIMDEP. These include:
- Multinomial logit - many specifications
- Random effects MNL
- Generalized mixed logit
- Random regret logit
- MNL with nonlinear utility functions
- WTP space specifications in mixed logit
- Scaled multinomial logit
- Nested logit
- Generalized nested logit
- Multinomial probit
- Mixed (random parameters) logit
- Heteroscedastic extreme value
- Covariance heterogeneity
- Latent class
- Latent class random parameters
- Nonlinear utilities with random parameters
- Attribute nonattendance
NLOGIT’s estimation programs are accessed as LIMDEP model commands. Since discrete choice models are often more complicated to specify than other single equation models in LIMDEP, the command setup includes many specifications that are specific to NLOGIT. Details
Inference Tools for Hypothesis Testing
The full set of post estimation and analysis tools in LIMDEP is accessed by NLOGIT. This includes the Wald, likelihood ratio and Lagrange multiplier tests, and all the matrix algebra and scientific calculator tools. NLOGIT also provides tools specific for discrete choice analysis, including built-in procedures for testing the IIA assumption of the multinomial logit model.