This paper formulates a likelihood-based estimator for a double index, semiparametric binary response equation. A novel feature of this estimator is that it is based on density estimation under local smoothing. While the proofs differ from those based on alternative density estimators, the...

An innovation which bypasses the need for instruments when estimating endogenous treatment effects is identification via conditional second moments. The most general of these approaches is Klein and Vella (2010) which models the conditional variances semiparametrically. While this is attractive,...

Triangular systems with nonadditively separable unobserved heterogeneity provide a theoretically appealing framework for the modeling of complex structural relationships. However, they are not commonly used in practice due to the need for exogenous variables with large support for...

We use panel data from the US Health and Retirement Study 1992-2002 to estimate theeffect of self-assessed health limitations on active labor market participation of men aroundretirement age. Self-assessments of health and functioning typically introduce anendogeneity bias when studying the...

This paper presents a simple two-step nonparametric estimator for a triangular simultaneous equation model. The authors use series approximations that exploit the additive structure of the model. The first step comprises the nonparametric estimation of the reduced form and the corresponding...

We use panel data from the US Health and Retirement Study 1992-2002 to estimate the effect of self-assessed health limitations on active labor market participation of men around retirement age. Self-assessments of health and functioning typically introduce an endogeneity bias when studying the...

This paper introduces bias-corrected estimators for nonlinear panel data models with both time invariant and time varying heterogeneity. These include limited dependent variable models with both unobserved individual effects and endogenous explanatory variables, and sample selection models with...

This paper analyzes the impact of changes in macroeconomic conditions on the income distribution in Spain. Using household data from the Encuesta Continuada de Presupuestos Familiares (ECPF) from 1985 to 1996, we disentangle the effect of aggregate variables on the income distribution by...

We use panel data from the US Health and Retirement Study 1992-2002 to estimate the effect of self-assessed health limitations on active labor market participation of men around retirement age. Self-assessments of health and functioning typically introduce an endogeneity bias when studying the...

This paper documents the expansion of college education in the U.S. and examines to what extent the increase in the number of college graduates may have lead to a decline in the average quality of college graduates. Using the 1940-1990 Census, we compare across birth year cohorts with varying...