This paper develops a bivariate GARCH model that allows for time-varying conditional correlations and simultaneous testing of two Granger-causal linkages: the impact of return volatility in a market on intermarket correlation and the impact of return volatility in one market on the volatility of...

We use an econometric model of fertility and children’s activities to examine the causal effects of fertility on a child’s activities taking the endogeneity of fertility into account. Our specification is nonlinear and simultaneous and uses latent factors to allow for unobserved influences...

We develop a random effects multinomial logit model to distinguish between unobserved and observed household characteristics as determinants of child labor and school attendance. Using a semi-parametric approach, the random effect is drawn from a discrete distribution of latent classes of...

We construct a joint distribution of fertility and children's activities treating the Poisson process generating the number of children as being endogenous in the multinomial logit process generating children's activities using a latent factor structure. Latent factors are incorporated into the...

This paper evaluates the extent to which patients may substitute physician and non-physician outpatient mental health services in response to insurance coverage which differs by provider type. Using data from the National Medical Expenditure Survey, a semi-flexible two-stage demand specification...