Discrete Choice Models

Discrete Choice Models are a statistical analysis method designed to predict individual choice behavior among a finite set of options. By analyzing the preferences and characteristics of the choices, these models quantify the impact of different options on the probability of selection, thereby revealing key factors in the decision-making process. The primary goal is to understand and predict patterns of human behavior when faced with multiple discrete choices. They are widely used in fields such as transportation planning, marketing, and environmental economics, helping policymakers and businesses optimize resource allocation and strategy design.