APPENDIX B
The log-likelihood for this conditional logit problem is,
KJ
log Lcl = ΣΣnjk log pj/k.
k=1 j=1
From the first order condition for maximization with respect to one of the
fixed effects we obtain,
∂ log Lcl
d.---= > n ∣njk - Pj∕knk∖ = 0
γj k=1
Solving the first order condition with respect to γj we arrive at,
K
j =exp(γj)
k=1
exp(β0zjk)
---J------------n---------nk
jJ=1 exp(β0zjk + γj)
Now, if we let,
Ik = log fp7----Z 4- )
j=1exp(β0zjk+γj)
we can express the γj sas,
exp(γj)=
____n____
PK=1 exp(β0 zjk + Ik )
23
More intriguing information
1. BUSINESS SUCCESS: WHAT FACTORS REALLY MATTER?2. A Rare Presentation of Crohn's Disease
3. WP 92 - An overview of women's work and employment in Azerbaijan
4. Asymmetric transfer of the dynamic motion aftereffect between first- and second-order cues and among different second-order cues
5. The name is absent
6. The Role of area-yield crop insurance program face to the Mid-term Review of Common Agricultural Policy
7. On the Existence of the Moments of the Asymptotic Trace Statistic
8. The name is absent
9. MATHEMATICS AS AN EXACT AND PRECISE LANGUAGE OF NATURE
10. AN EXPLORATION OF THE NEED FOR AND COST OF SELECTED TRADE FACILITATION MEASURES IN ASIA AND THE PACIFIC IN THE CONTEXT OF THE WTO NEGOTIATIONS