The commonly-used version of the double-hurdle model rests on a rather restrictive set of statistical assumptions, which are very seldom tested by practitioners, mainly because of the lack of a standard procedure for doing so, although violation of such assumptions can lead to serious modelling...

In this paper, we propose a test for bivariate normality in imperfectly observed models, based on the information matrix test for censored models with bootstrap critical values. In order to evaluate its properties, we run a comprehensive Monte Carlo experiment, in which we use the bivariate...

In this paper, we run a Monte Carlo analysis of the finite-sample performance of an Information Matrix Test put forward by Smith (1985) for bivariate censored models. We use the bivariate probit model and Heckman selection model as examples.;Approximating the finite-sample distribution of this...

We present a simple theory and an empirical test for state dependence in firm access to credit. We estimate a first-order Markov model of credit restriction with sample selection that makes it possible to estimate state dependence in the presence of feedback effects and observed and unobserved...

We propose a test for state dependence in binary panel data under the dynamic logit model with individual covariates. For this aim, we rely on a quadratic exponential model in which the association between the response variables is accounted for in a different way with respect to more standard...

We propose a finite mixture latent trajectory model to study the behavior of firms in terms of open-ended employment contracts that are activated and terminated during a certain period. The model is based on the assumption that the population of firms is composed by unobservable clusters (or...

In this paper, we analyze the higher education choices of Italian secondary school leavers by addressing the roles of university quality, costs and geographical distance to the institution as well as the relationship between students’ choices and their personal and household’s attributes,...

This paper presents the Gretl function package DPB for estimating dynamic binary models with panel data. The package contains routines for the estimation of the random-effects dynamic probit model proposed by Heckman (1981b) and its generalisation by Hyslop (1999) and Keane and Sauer (2009) to...

The considerable increase of non-standard labor contracts, unemployment and inactivity rates raises the question of whether job insecurity and the lack of job opportunities affect physical and mental well-being differently from being employed with an open-ended contract. In this paper we offer...

This paper examines the enrolment decision and the university choice of Italian secondary school graduates. We extend previous analyses by means of a theoretical model where student's choices depend on both universities attributes and individual characteristics. Empirical evidence of theoretical...