In finite samples, the use of a slightly endogenous but highly relevant instrument can reduce mean-squared error (MSE). Building on this observation, I propose a moment selection criterion for GMM in which moment conditions are chosen based on the MSE of their associated estimators rather than...

Canadian health care spending as risen as a percent of GDP almost every year since statistics on the subject were collected. Over this time frame Canadian incomes have also risen significantly as well. Determining whether the cause of these increases is a demand-sided problem as a result of...

This paper analyzes how apprenticeship training, i.e., work-based secondary education, affects personality traits compared to full-time school-based vocational or general education. Employing an instrumental variable approach that exploits the regional differences in the relative weight of...

There is a substantial debate over the direction of the causal relation between income and health. This is important for our understanding of the health production process and for the policy debate over improving healthcare. We instrument income with rainfall measurements by matching satellite...

A graph of environmental degradation versus income often has an inverted-U shape. Some policy analysts hypothesize that there is a causal relationship between income and environmental degradation, yielding this shape and suggesting that the solution to environmental problems is to alleviate...

In this paper, I present an empirical model of learning under ambiguity in the context of clinical trials. Patients are concern with learning the treatment effect of the experimental drug, but face the ambiguity of random group assignment. A two dimensional Bayesian model of learning is proposed...