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Discriminating Methods: Tests for Non‐nested Discrete Choice Models

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  • Kevin A. Clarke
  • Curtis S. Signorino

Abstract

We consider the problem of choosing between rival statistical models that are non‐nested in terms of their functional forms. We assess the ability of two tests, one parametric and one distribution free, to discriminate between such models. Our Monte Carlo simulations demonstrate that both tests are, to varying degrees, able to discriminate between strategic and non‐strategic discrete choice models. The distribution‐free test appears to have greater relative power in small samples.

Suggested Citation

  • Kevin A. Clarke & Curtis S. Signorino, 2010. "Discriminating Methods: Tests for Non‐nested Discrete Choice Models," Political Studies, Political Studies Association, vol. 58(2), pages 368-388, March.
    • Handle: RePEc:bla:polstu:v:58:y:2010:i:2:p:368-388
    DOI: 10.1111/j.1467-9248.2009.00813.x
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    References listed on IDEAS

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    1. Signorino, Curtis S., 1999. "Strategic Interaction and the Statistical Analysis of International Conflict," American Political Science Review, Cambridge University Press, vol. 93(2), pages 279-297, June.
    2. Huth, Paul & Gelpi, Christopher & Bennett, D. Scott, 1993. "The Escalation of Great Power Militarized Disputes: Testing Rational Deterrence Theory and Structural Realism," American Political Science Review, Cambridge University Press, vol. 87(3), pages 609-623, September.
    3. Richard Mckelvey & Thomas Palfrey, 1998. "Quantal Response Equilibria for Extensive Form Games," Experimental Economics, Springer;Economic Science Association, vol. 1(1), pages 9-41, June.
    4. Vuong, Quang H, 1989. "Likelihood Ratio Tests for Model Selection and Non-nested Hypotheses," Econometrica, Econometric Society, vol. 57(2), pages 307-333, March.
    5. Reiter, Dan & Stam, Allan C., 1998. "Democracy, War Initiation, and Victory," American Political Science Review, Cambridge University Press, vol. 92(2), pages 377-389, June.
    6. Curtis S. Signorino & Ahmer Tarar, 2006. "A Unified Theory and Test of Extended Immediate Deterrence," American Journal of Political Science, John Wiley & Sons, vol. 50(3), pages 586-605, July.
    7. Signorino, Curtis S., 2003. "Structure and Uncertainty in Discrete Choice Models," Political Analysis, Cambridge University Press, vol. 11(4), pages 316-344.
    8. Pollins, Brian M., 1996. "Global Political Order, Economic Change, and Armed Conflict: Coevolving Systems and the Use of Force," American Political Science Review, Cambridge University Press, vol. 90(1), pages 103-117, March.
    9. Curtis S. Signorino & Kuzey Yilmaz, 2003. "Strategic Misspecification in Regression Models," American Journal of Political Science, John Wiley & Sons, vol. 47(3), pages 551-566, July.
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    Cited by:

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    2. Glenn W. Harrison & J. Todd Swarthout, 2016. "Cumulative Prospect Theory in the Laboratory: A Reconsideration," Experimental Economics Center Working Paper Series 2016-04, Experimental Economics Center, Andrew Young School of Policy Studies, Georgia State University.

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