somewhat lower mean and relatively higher variance than the others. The remaining brand dummy
variables (not reported) indicate that consumers are willing to pay on the order of $500 to move
from the second-lowest-value plan to one of the three largest brands. Conditional on all other plan
variables, consumers show a slight aversion to enhanced plans on average, although the variance
of this random coecient is three times larger than its mean. When we break out the enhanced
plan coecient by year in Model 4, we see that enhanced plans became increasingly attractive over
time; the overall coecient is positive by 2009