Combining Revealed and Stated Data
to Examine Decisions of Housing Location:
Discrete-Choice Hedonic and Conjoint Analysis
Dietrich Earnhart
University of Kansas
Department of Economics
University of Kansas
213 Summerfield Hall
Lawrence, KS 66045
(785) 864-2866
June 30, 1998

Abstract: This paper uses stated preference and revealed preference data, separately and jointly, to examine individuals= choices regarding housing locations. In particular, it combines an established revealed preference approach, discrete-choice hedonic analysis, and a relatively new stated preference approach, choice-based conjoint analysis, to understand better individuals= housing decisions. These methods are appropriately combined since they reflect the same decision process: household selects the location that provides the best combination of attributes from the feasible set of alternatives. Analysis finds that actual and hypothetical housing purchases are similar decision processes with respect to some attributes, yet dissimilar with respect to other attributes. Nevertheless, combining the two types of data improves identification of both attribute categories.

JEL Classification Number: R21