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Record W3180445655 · doi:10.14288/1.0400044

On dynamic choice models, agent's beliefs and unobserved heterogeneity

2021· article· en· W3180445655 on OpenAlexaff
Yu Hao

Bibliographic record

VenuecIRcle (University of British Columbia) · 2021
Typearticle
Languageen
FieldBusiness, Management and Accounting
TopicConsumer Market Behavior and Pricing
Canadian institutionsUniversity of British Columbia
Fundersnot available
KeywordsEconometricsEconomicsComputer science

Abstract

fetched live from OpenAlex

Chapter 2 provides a tractable model that separates firms’ incentive problems and coordination problems during the initiation of collusion. In the Chilean pharmaceutical industry, firms collude through price leadership. Collusion gradually diffuses among markets: firms collusively raise prices in a couple of markets per week. We propose a model of price leadership under the dynamic pricing game framework to incorporate the coordination problems by allowing firms’ beliefs about competitors’ conduct to be biased towards a competitive equilibrium. As firms observe supracompetitive prices, they adaptively learn that competitors are willing to collude. We show that gradualism is explained by the heterogeneous market characteristics as well as firms’ learning to coordinate. Chapter 3 develops the likelihood-ratio based test of the null hypothesis of a m₀-component model against an alternative of (m₀+1)-component model in the normal mixture panel regression. I show that the normal mixture panel regression does not suffer from the Fisher Information matrix degeneracy under the reparameterization proposed in Kasahara and Shimotsu [89]. As a result, the likelihood ratio test statistic can be approximated by a local quadratic expansion of squares and products of the reparameterized parameters. Moreover, I obtain the data-driven penalty function via computational experiments to attend to the unbounded likelihood ratio. In addition, I apply the test to random coefficient Cobb-Douglas production function estimation following the framework of Gandhi et al. [63] and Kasahara and Shimotsu [90]. The empirical findings suggest evidence of heterogeneous production technology beyond the Hicks-neutral technology factor. Chapter 4 develops a modified expectation-maximization(EM) algorithm to incorporate unobserved heterogeneity for the dynamic discrete choice model that does not require the finite dependence property. Following the Euler Equation(EE) representation of dynamic discrete decision problems, we provide an alternative conditional choice probability (CCP) value function representation that relies only on the CCP of one action. We illustrate the computational gains with Monte Carlo simulations.

Fetched live from OpenAlex and de-inverted. Abstracts are not stored in this database: the inverted indexes are 8.6 GB of the frame’s 9.3 GB of text, and the host has 13 GB free.

How this classification was reachedexpand

Full frame machine prediction

Teacher imitation

Not calibrated prevalence, not ground truth. Human validation pending. The Gemma side is a direct model label for every work in the frame, read from the title-only record. The Codex side is a classifier learned from the 10,348 direct Codex labels and calibrated to design-weighted sample rates; fields without enough sample support carry no Codex call. Candidate is the union of the two sides; consensus is their intersection. These outputs are machine_predicted_unvalidated and are not human labels.

metaresearch head score (Codex)0.005
metaresearch head score (Gemma)0.015
Version: metacan-v3-hybrid-931329e0061cValidation status: machine_predicted_unvalidated
Candidate categoriesnone
Consensus categoriesnone
DomainCandidate signal: none · Consensus signal: none
Study designCandidate signal: Theoretical or conceptual · Consensus signal: Theoretical or conceptual
GenreCandidate signal: Empirical · Consensus signal: none
Teacher disagreement score0.015
Threshold uncertainty score0.051

Distilled classifier scores by category (both heads)

CategoryCodexGemma
Metaresearch0.0050.015
Meta-epidemiology (narrow)0.0020.001
Meta-epidemiology (broad)0.0030.002
Bibliometrics0.0010.003
Science and technology studies0.0010.002
Scholarly communication0.0040.004
Open science0.0030.002
Research integrity0.0050.004
Insufficient payload (model declined to judge)0.0150.002

Machine scores (provisional)

The two teacher heads of the student model, read on this work. A score orders the frame for review; it never asserts a category, and the validation status ships verbatim with every row.

Baseline scores from an immature model (maturity gate not passed, 7 training rounds). Scores rank; they never assert a category.

Opus teacher head0.019
GPT teacher head0.189
Teacher spread0.171 · how far apart the two teachers sit on this one work
Validation statusscore_only:v0-immature-baseline · verbatim from the scoring run: score_only means the number may rank works, and no category label ships from it

Classification

machine, unvalidated

Machine predicted; a candidate call from one source (direct Gemma or distilled Codex), not a consensus.

The models applied no category: nothing in the taxonomy fit this work.
Study designTheoretical or conceptual
Domainnot available
GenreEmpirical

How this classification was reached, model by model and score by score, is at the end of the page under "How this classification was reached".

Quick stats

Citations0
Published2021
Admission routes1
Has abstractyes

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