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Type | Working Paper |
Scope | Discipline-based scholarship |
Title | A dynamic hurdle model for zero-inflated count data: with an application to health care utilization |
Organization Unit | |
Authors |
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Language |
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Institution | University of Zurich |
Series Name | Working paper series / Department of Economics |
Number | 151 |
ISSN | 1664-7041 |
Number of Pages | 22 |
Date | 2014 |
Abstract Text | Excess zeros are encountered in many empirical count data applications. We provide a new explanation of extra zeros, related to the underlying stochastic process that generates events. The process has two rates, a lower rate until the first event, and a higher one thereafter. We derive the corresponding distribution of the number of events during a fixed period and extend it to account for observed and unobserved heterogeneity. An application to the socio-economic determinants of the individual number of doctor visits in Germany illustrates the usefulness of the new approach. |
Official URL | http://www.econ.uzh.ch/static/wp/econwp151.pdf |
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Keywords | Excess zeros, Poisson process, exposure, hurdle model, Poisson-Prozess, Gesundheitsökonomie |