Microeconometric models of tourists'' destination choice

The focus of this paper is on the microeconometric analysis of spatial choice in a cross section. Nested multinomial logit models are used to analyze the determinants of individual choice among destinations and vacation activities. Cramer and Ridder's likelihood ratio test for pooled alternatives in multinomial logit models is sequentially applied in order to determine the adequate aggregation level of the mutually exclusive alternatives in the choice set. The specification test suggested by Chesher and Santos Silva (1992) is used to investigate whether or not the IIA proposition is fulfilled within the assumed choice subsets.