Connected Substitutes and Invertibility of Demand

By Steven T. Berry, Amit J. Gandhi, Philip A. Haile. 2011

165 citations recorded by the source corpus.

Subfields: Economics and Econometrics, Marketing

View Paper: https://www.semanticscholar.org/paper/01b62c4747e771a663516bf8c4d78b907f96a2d9

How researchers see this paper

The researchers whose trusted networks rank it highest, strongest advocate first. Every researcher gets a different order.

In Economics and Econometrics

1. Martin P. Weidner
2. H. R. Moon
3. David J. Donaldson
4. Arnaud Costinot
5. M. Shum
6. Rodrigo Adão
7. S. Bonhomme
8. Elena Manresa

In Marketing

1. H. R. Moon
2. Martin P. Weidner
3. David J. Donaldson
4. M. Shum
5. Arnaud Costinot
6. Matthijs R. Wildenbeest

Citations in the corpus

• Measuring Aggregate Price Indexes with Taste Shocks: Theory and Evidence for CES Preferences (2016, unknown): “Substituting this closed-form expression for the taste shocks (12) into the change in the cost of living for common varieties in equation (10), we obtain our exact CES common variety price index (CCV) in equation (9), as shown in Section A.”
• Nonparametric Counterfactual Predictions in Neoclassical Models of International Trade (2017, background): “As discussed in Berry, Gandhi and Haile (2013), a sufficient condition for a demand function to be invertible over its support is that it satisfies the connected substitute property.”
• Measuring Substitution Patterns in Differentiated-Products Industries (2019, unknown): “…. , nt that rationalizes the market shares, i.e., sjt = σj ( x (2) t , δt; Σ ) j = 1, . . . , nt ⇐⇒ ξj (st,xt;θ) = σ−1j ( st,x (2) t ; Σ ) − xjtβ j = 1, . . . , nt (4) where the inverse demand σ−1j is uniquely defined following Berry, Levinsohn, and Pakes (1995) and Berry, Gandhi, and Haile (2013).”
• Identification in Differentiated Products Markets Using Market Level Data (2010, unknown): “With the following " connected substitutes " assumption (Berry, Gandhi, and Haile (2012)), we will strengthen this notion of choice among substitute goods in two ways.”
• Estimation of random coefficients logit demand models with interactive fixed effects (2012, methodology): “The Berry, Levinsohn and Pakes (1995) (hereafter BLP) demand model, based on the random coefficients logit multinomial choice model, has become the workhorse of demand modelling in empirical industrial organization and antitrust analysis. An important virtue of this model is that it parsimoniously a”