Compare WTP from preference and WTP space models
Returns a comparison of the WTP between a preference space and WTP space model.
wtpCompare(model_pref, model_wtp, priceName)
model_pref |
The output of a "preference space" model estimated using
the |
model_wtp |
The output of a "willingness to pay space" model estimated
using the |
priceName |
The name of the parameter that identifies price. |
Willingness to pay (WTP) is first computed from the preference space model by dividing the estimated parameters by the price parameter. Then those estimates are compared against the WTP values directly estimated from the "WTP" space model. Uncertainty is handled via simulation.
A data frame comparing the WTP estimates from preference space and WTP space models.
# Run a MNL model in the Preference Space:
library(logitr)
mnl_pref <- logitr(
data = yogurt,
choiceName = "choice",
obsIDName = "obsID",
parNames = c("price", "feat", "dannon", "hiland", "yoplait")
)
# Get the WTP implied from the preference space model
wtp_mnl_pref <- wtp(mnl_pref, priceName = "price")
# Run a MNL model in the WTP Space:
mnl_wtp <- logitr(
data = yogurt,
choiceName = "choice",
obsIDName = "obsID",
parNames = c("feat", "dannon", "hiland", "yoplait"),
priceName = "price",
modelSpace = "wtp",
options = list(startVals = wtp_mnl_pref$Estimate)
)
# Compare the WTP between the two spaces:
wtpCompare(mnl_pref, mnl_wtp, priceName = "price")Please choose more modern alternatives, such as Google Chrome or Mozilla Firefox.