This paper demonstrates how a natural experiment in education can be used to estimate causal effects. The Swedish compulsory school reform extended basic education gradually across cohorts and municipalities, allowing for a difference-in-differences analysis. The paper summarizes the literature...

This paper shows the causal relationship between mutual religious association and the formation of social ties. We analyze dyadic relationships and show that joint attendance at a religious institution (RI) increases the probability of sharing information with and trusting a peer. We use a novel...

Both instrumental variable (IV) estimation and mediation analysis are tools for causal inference. However, IV estimation has mostly developed in economics for causal inference from observational data. In contrast, mediation analysis has mostly developed in psychology, as a tool to empirically...

Governments in developing countries are investing billions of dollars to increase electricity access in rural areas, but the literature on the impact of these investments has produced mixed results. We leverage a unique characteristic of household electrification policy in Uttar Pradesh, India,...

is paper provides a general framework for testing instrument validity in heterogeneous causal effect models. We first generalize the testable implications of the instrument validity assumption provided by Balke and Pearl (1997), Imbens and Rubin (1997), and Heckman and Vytlacil (2005). The...

This study examines the nonparametric instrumental variable model with discrete instruments and explores the partial identification and estimation of the target parameter, which is a linear functional of the structural function. We include numerous target parameters, such as the difference...