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Mixed logit has been recognised and widely practised by researchers as a highly flexible modelling tool that can address the main shortcomings of the standard logit. Despite the potential to be generalised, the random-coefficient modelling has rarely been integrated with more advanced GEV-type models, possibly due to the unavailability of such estimation options in most econometric software. This particular generalisation has been recommended by a number of econometricians for analysing choice problems in which capturing taste variation and specific non-IIA patterns of substitution are both of modeller's concern. This way, the analyst will be able to limit the number of explanatory variables to the ones whose distributions of coefficients offer behavioural interpretations about taste variation, and leave the imposition of the desired substitution pattern to the GEV core.

In this paper, we report on a mixed nested logit …