This paper suggests and implements a method for dealing with the problems which are encountered during the estimation of dynamic, discrete choice models with serially correlated unobservables. The method takes advantage of Gaussian quadrature integral approximation techniques and is based on a...

This paper makes use of a unique data set to explore the issue of whether inner-city residents are more likely to be hired by a new inner-city development than non-residents. A selection model with partial observability is specified and estimated. This partial observability estimates at the...