Estimation of Limited-Dependent Variable Models with Dummy Endogenous Regressors

Estimation of Limited-Dependent Variable Models with Dummy Endogenous Regressors
Author: Joshua D. Angrist
Publisher:
Total Pages: 0
Release: 2003
Genre:
ISBN:

Applied economists have long struggled with the question of how to accommodate binary endogenous regressors in models with binary and non-negative outcomes. I argue here that much of the difficulty with limited-dependent variables comes from a focus on structural parameters, such as index coefficients, instead of causal effects. Once the object of estimation is taken to be the causal effect of treatment, a number of simple strategies is available. These include conventional two-stage least squares, multiplicative models for conditional means, linear approximation of nonlinear causal models, models for distribution effects, and quantile regression with an endogenous binary regressor. The estimation strategies discussed in the paper are illustrated by using multiple births to estimate the effect of childbearing on employment status and hours of work.

Essays in Honor of Subal Kumbhakar

Essays in Honor of Subal Kumbhakar
Author: Christopher F. Parmeter
Publisher: Emerald Group Publishing
Total Pages: 401
Release: 2024-04-05
Genre: Business & Economics
ISBN: 1837978751

It is the editor’s distinct privilege to gather this collection of papers that honors Subhal Kumbhakar’s many accomplishments, drawing further attention to the various areas of scholarship that he has touched.

International Institutions and Economic Development in Asia

International Institutions and Economic Development in Asia
Author: Thanh Tri Vo
Publisher: Routledge
Total Pages: 235
Release: 2010-11-16
Genre: Business & Economics
ISBN: 1136839178

Covers the influence of international public goods and landmark developments and assesses how they have affected Asia’s development through the ‘Golden’ and ‘Silver Ages’ of economic development. It also considers the challenges for the continuation of a new ‘Platinum Age’ of development driven by China and India.

Estimating Models with Binary Dependent Variables

Estimating Models with Binary Dependent Variables
Author: Guy Gessner
Publisher:
Total Pages: 0
Release: 2015
Genre:
ISBN:

Many mathematically similar models are being used by business researchers to link binary dependent variables with a set of predictor variables. Typical research results indicate little difference between models in their ability to properly classify observations. But, there appear to be major differences in the interpretation of coefficients resulting from the calibration of these competing models. The empirical results in this article clearly show that when the assumptions underlying binary-dependent-variable techniques are violated, parameter estimates may be misleading. This can be true even when the goodness-of-fit statistics are not substantially affected.