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Parametric and semi‐parametric modelling of vacation expenditures
Author(s) -
Melenberg Bertrand,
Van Soest Arthur
Publication year - 1996
Publication title -
journal of applied econometrics
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 2.878
H-Index - 99
eISSN - 1099-1255
pISSN - 0883-7252
DOI - 10.1002/(sici)1099-1255(199601)11:1<59::aid-jae371>3.0.co;2-a
Subject(s) - parametric statistics , tobit model , econometrics , semiparametric model , parametric model , regression analysis , mathematics , nonparametric statistics , economics , statistics
We analyse several limited dependent variable models explaining the budget share that Dutch families spend on vacations. To take account of the substantial number of zero shares, two types of models are used. The first is the single‐equation censored regression model. We estimate and test several parametric and semi‐parametric extensions of the Tobit model. Second, we consider two‐equation models, in which the participation decision and the decision on the amount to spend are treated separately. The first decision is modelled as a binary choice model; the second as a conditional regression. We estimate and test parametric and semi‐parametric specifications.