Derivation of covariance probit elasticities

Derivation of covariance probit elasticities

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Article ID: iaor1990470
Country: United States
Volume: 36
Issue: 4
Start Page Number: 1
End Page Number: 7
Publication Date: Apr 1990
Journal: Management Science
Authors:
Abstract:

The full covariance probit model is highly regarded due to the flexibility with which it can represent cross brand effects. Explicit formulae for these cross brand effects for the general N brand case have never appeared in print, nor have the direct elasticities for the model. This note fills that omission.

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