Distributional assumptions in mixed logit models: implications for welfare estimates in South China tiger conservation efforts

The mixed logit model is widely used in choice experiments to capture random variations in individual tastes; however, the predefined distributional forms significantly affect welfare estimates. This study addresses the lack of research on the effects of four common distributions (normal, log-normal...

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Main Authors: Lee, Yuanyuan, W. Mohamad, Wan Norhidayah, Samdin, Zaiton, Kong, Senquan
Format: Article
Language:English
Published: Horizon Research Publishing 2025
Online Access:http://psasir.upm.edu.my/id/eprint/121035/
http://psasir.upm.edu.my/id/eprint/121035/1/121035.pdf
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author Lee, Yuanyuan
W. Mohamad, Wan Norhidayah
Samdin, Zaiton
Kong, Senquan
author_facet Lee, Yuanyuan
W. Mohamad, Wan Norhidayah
Samdin, Zaiton
Kong, Senquan
author_sort Lee, Yuanyuan
building UPM Institutional Repository
collection Online Access
description The mixed logit model is widely used in choice experiments to capture random variations in individual tastes; however, the predefined distributional forms significantly affect welfare estimates. This study addresses the lack of research on the effects of four common distributions (normal, log-normal, triangular and uniform) on welfare estimates, attribute significance and model fit, particularly in the context of endangered species conservation. The results highlight visitors’ willingness to contribute financially to the South China tiger conservation, while also emphasizing the importance of identifying the optimal distribution in advance to avoid potentially biased welfare estimates and subsequent erroneous policy recommendations. Notably, except for the log-normal model, the other distributions yielded consistent estimates regarding attribute significance and preference. Interestingly, while the log-normal model fitted well, it yielded fewer significant attributes and lower welfare estimates. The triangular distribution performed best in terms of log-likelihood, pseudo-R2 and Akaike information criterion. This finding challenges the common use of normal distributions for mixed logit models and addresses the importance of developing mixed logit models with different distributions. Moreover, effective budget allocations based on visitors’ preferences for South China tiger conservation are recommended for policymakers.
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spelling upm-1210352025-10-23T00:10:19Z http://psasir.upm.edu.my/id/eprint/121035/ Distributional assumptions in mixed logit models: implications for welfare estimates in South China tiger conservation efforts Lee, Yuanyuan W. Mohamad, Wan Norhidayah Samdin, Zaiton Kong, Senquan The mixed logit model is widely used in choice experiments to capture random variations in individual tastes; however, the predefined distributional forms significantly affect welfare estimates. This study addresses the lack of research on the effects of four common distributions (normal, log-normal, triangular and uniform) on welfare estimates, attribute significance and model fit, particularly in the context of endangered species conservation. The results highlight visitors’ willingness to contribute financially to the South China tiger conservation, while also emphasizing the importance of identifying the optimal distribution in advance to avoid potentially biased welfare estimates and subsequent erroneous policy recommendations. Notably, except for the log-normal model, the other distributions yielded consistent estimates regarding attribute significance and preference. Interestingly, while the log-normal model fitted well, it yielded fewer significant attributes and lower welfare estimates. The triangular distribution performed best in terms of log-likelihood, pseudo-R2 and Akaike information criterion. This finding challenges the common use of normal distributions for mixed logit models and addresses the importance of developing mixed logit models with different distributions. Moreover, effective budget allocations based on visitors’ preferences for South China tiger conservation are recommended for policymakers. Horizon Research Publishing 2025 Article PeerReviewed text en cc_by_4 http://psasir.upm.edu.my/id/eprint/121035/1/121035.pdf Lee, Yuanyuan and W. Mohamad, Wan Norhidayah and Samdin, Zaiton and Kong, Senquan (2025) Distributional assumptions in mixed logit models: implications for welfare estimates in South China tiger conservation efforts. Environment and Ecology Research, 13 (3). pp. 371-383. ISSN 2331-625X; eISSN: 2331-6268 https://www.hrpub.org/journals/article_info.php?aid=15099 10.13189/eer.2025.130306
spellingShingle Lee, Yuanyuan
W. Mohamad, Wan Norhidayah
Samdin, Zaiton
Kong, Senquan
Distributional assumptions in mixed logit models: implications for welfare estimates in South China tiger conservation efforts
title Distributional assumptions in mixed logit models: implications for welfare estimates in South China tiger conservation efforts
title_full Distributional assumptions in mixed logit models: implications for welfare estimates in South China tiger conservation efforts
title_fullStr Distributional assumptions in mixed logit models: implications for welfare estimates in South China tiger conservation efforts
title_full_unstemmed Distributional assumptions in mixed logit models: implications for welfare estimates in South China tiger conservation efforts
title_short Distributional assumptions in mixed logit models: implications for welfare estimates in South China tiger conservation efforts
title_sort distributional assumptions in mixed logit models: implications for welfare estimates in south china tiger conservation efforts
url http://psasir.upm.edu.my/id/eprint/121035/
http://psasir.upm.edu.my/id/eprint/121035/
http://psasir.upm.edu.my/id/eprint/121035/
http://psasir.upm.edu.my/id/eprint/121035/1/121035.pdf