Using spectral analysis and multinomial logit regression to explain households' choice patterns

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Many methods are available to analyze rank-ordered data. We used spectral analysis to identify the most preferred option of Formosan subterranean termites (FSTs) control as ranked by Louisiana homeowners. Respondents were asked to rank four termite control methods from the most preferred option to the least preferred option. Spectral analysis of complete ranked data indicated that the most preferred FST control choice is a relatively cheap ($0.13/square foot) option of a liquid treatment. Similarly, analysis indicated that liquid and bait treatments are the two most desired control choices. Multinomial logit analysis indicated that survey location, household pre-tax income, and knowledge of FSTs determined Louisiana homeowners' ranking pattern choices. © 2012 Springer-Verlag.

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Empirical Economics

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