We document the sensitivity of welfare estimates derived from discrete choice models to assumptions about the choice set. Such assumptions can affect welfare estimates through both the estimated parameters of the model and, conditional on the parameters, the substitution among alternatives. Our analysis involves estimates of the benefits of air quality improvements in Los Angeles based ondiscrete choices of neighborhood and housing. We further illustrate the use of meta analysis to document and summarize voluminous information derived from repeated sensitivity analyses.
H. Spencer Banzhaf
V. Kerry Smith
Marty Weitzman, In Memoriam
Gernot Wagner pays tribute to friend and colleague Marty Weitzman
Building Best Practices for Managing Wildfire Smoke
Matthew Wibbenmeyer explores how to reduce damaging wildfire smoke—with prescribed fires.
How Clean is “Refined Coal”?
Brian C. Prest examines the effectiveness of the billion-dollar federal subsidy for refined coal in the United States.