I have a question on the interaction effect calculation while estimating utilities in CBC-HB.

1. Is it a good practice even if it improves the RLH of the estimates?

2. In the estimates, all the interaction effect utilities are calculated against every respondent.

For willingness to pay calculation, how is it calculated then?

Without the interaction effects, WTP = (Sum of relevant individual partworth utilities)/price utility coefficient.

When interaction effect is calculated, how is it computed then?

The sum of the part worth utilities = main effects utilities + interaction effects where the main attributes in consideration are there?

Kindly advise.

Regards,

Sujit

thanks for your fine reply.

I have a small question though. To run the Model explorer, I need to have the I have CBCHBCon.exe and this seems to be not there.

I have Lighthouse Studio 9.5.3.

For the second suggestion on share equalization, I am working on it at the moment. Will update you once I am done with this.