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In recent years, the government, of African Countries has assumed major responsibilities for economic reforms and growth. In attempting to describe their economies, economists (policymakers) in many African Countries have applied certain models that are by now widely known: Linear programming...
Persistent link: https://www.econbiz.de/10013117492
We introduce and describe a Stata routine weakivtest implementing the test for weak instruments of Montiel Olea and Pflueger (2013). weakivtest allows for errors that are not conditionally homoskedastic and serially uncorrelated. It extends the Stock and Yogo (2005) weak instrument tests...
Persistent link: https://www.econbiz.de/10013063000
second order asymptotic theory. Essentially the same idea is applied to develop another new specification test using second …
Persistent link: https://www.econbiz.de/10014175765
This paper analyzes the identifying power of weak convexity assumptions in treatment effect models with endogenous selection. The counterfactual distributions are constrained either in terms of the response function, or conditional on the realized treatment, and sharp bounds on the potential...
Persistent link: https://www.econbiz.de/10008695370
hand side endogenous variable. In many contexts Economic theory says little, if anything about the "first stage … properties and illustrates their use in a Monte-Carlo experiment as well as an empirical example along the lines of the Angrist …
Persistent link: https://www.econbiz.de/10014151486
The focus of the paper is the nonparametric estimation of an instrumental regression function f defined by conditional moment restrictions stemming from a structural econometric model: E [Y - f (Z) | W] = 0, and involving endogenous variables Y and Z and instruments W. The function f is the...
Persistent link: https://www.econbiz.de/10014046845
This paper deals with two alternatives to the so-called Hausman test for the exogeneity of instruments, in the context of a model where one or more explanatory variables are possibly correlated with the structural error. These two alternatives are at least as good or better than the Hausman test...
Persistent link: https://www.econbiz.de/10014075112
We revisit the identification argument of Kirkeboen et al. (2016) who showed how one may combine instruments for multiple unordered treatments with information about individuals' ranking of these treatments to achieve identification while allowing for both observed and unobserved heterogeneity...
Persistent link: https://www.econbiz.de/10013435136
Considerable effort has been exercised in estimating mean returns to education while carefully considering biases arising from unmeasured ability and measurement error. Some recent work has also attempted to determine whether there are variations from the "mean" return to education across the...
Persistent link: https://www.econbiz.de/10014149162
theory for the case where the first step is estimated nonparametrically. For women, the empirical results show that the JTPA …
Persistent link: https://www.econbiz.de/10014042212