Estimating Hybrid Choice Models with Biogeme

The literature on discrete choice models with latent variables is vast (Walker, 2001, Ashok et al., 2002, Greene and Hensher, 2003, Ben-Akiva, Walker, Bernardino, Gopinath, Morikawa and Polydoropoulou, 2002, Ben-Akiva et al., 2002, to cite just a few early references). This document presents a practical introduction to the specification and estimation of hybrid choice models using Biogeme. It introduces the main concepts and notation underlying these models, discusses the associated normalization issues, and illustrates their implementation through a sequence of progressively richer examples. The examples show how latent variables, structural equations, measurement equations, and choice models can be combined within a unified estimation framework.