ECONOMETRIC MODELS OF AUTOMOBILE DEMAND

HAROLD EDWARD DYCK, Purdue University

Abstract

This thesis presents a survey of the literature surrounding the econometric analysis of automobile demand, and two studies of maximum likelihood estimation of geometric lag structures used in automobile demand studies. The first study focuses on a partial adjustment-adaptive expectations model with more than one expectational variable. The second study concerns the use and measurement of permanent income as an alternative measure of expectations in a model which explains purchase rates of automobiles by income quintile. Both studies stress the free estimation of coefficients of expectation and adjustment and the need to be concerned about error specifications and the small sample properties of estimation.

Degree

Ph.D.

Subject Area

Economic theory

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