[Limdep Nlogit List] LCRPLOGIT question

[William Greene]

Deepthi. LCRPLOGIT is for latent classes and random parameters. Your
description sounds like you
only want LCLOGIT - latent classes.  Note that you can't separate
observations into classes, by
construction the classes are latent.  You can, post estimation, make your
best guess as to who is in
which class - please see the NLOGIT manual for details.  RH2 is not the
latent class determinants.
RH2 is for choice invariant variables such as Age or Income.  To make the
class probabilities
conditional, you will use ;LCM = list ... where the variables should be
choice invariant as well.
Regards
B. Greene

On Fri, Nov 24, 2023 at 3:24 PM Kolady, Deepthi Elizabeth P via Limdep <
limdep at mailman.sydney.edu.au> wrote:

> Hello Professor Greene,
>
> I am interested in examining how climate change perceptions and adverse
> weather experiences influence farmers' willingness to accept(WTA) carbon
> payments. I have discrete choice data to estimate WTA estimates. However, I
> would like to classify farmers into latent classes based on climate change
> perception and adverse weather experience and then estimate utility
> preferences and WTA per class.
>
> My first question is can I use LCRPLOGIT command to do it one step instead
> of doing it separately (i.e. form classes and then estimate). I am thinking
> of the following command
>
>
> LCRPLOGIT ; Lhs = dependent variable
>
> ; Choices = the names of the J alternatives
>
> ; Rhs = list of choice specific attributes
>
> ; Rh2 = list of choice invariant individual characteristics
>
> ; Fcn = definition of the random parameters part
>
> ; Pts = the number of classes $
>
>
>
> My second question is what is Rh2?  I assume it is the latent class
> determinants (i.e. climate change perception, adverse weather experience
> etc).
>
> Thanks,
> Deepthi
>
>
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-- 
William Greene
Department of Economics, emeritus
Stern School of Business, New York University
URL: https://protect-au.mimecast.com/s/wE3hC3QNPBiXK4g6ySglyq9?domain=people.stern.nyu.edu
Email: wgreene at stern.nyu.edu
Editor in Chief: Foundations and Trends in Econometrics
Associate Editor: Economics Letters
Associate Editor: Journal of Business and Economic Statistics