Arbeitspapier
Beyond Plausibly Exogenous
We synthesize two recent advances in the literature on instrumental variables (IVs) estimation that test and relax the exclusion restriction. Our approach first estimates the direct effect of the IV on the outcome in a subsample for which the IV does not affect the treatment variable. Subsequently, this estimate for the direct effect is used as input for the plausibly exogenous method developed by Conley, Hansen and Rossi (2012). This two-step procedure provides a novel and informed sensitivity analysis for IV estimation. We illustrate the practical use by estimating the causal effect of (i) attending Catholic high school on schooling outcomes, and (ii) the number of children on female labour supply.
- Language
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Englisch
- Bibliographic citation
-
Series: Tinbergen Institute Discussion Paper ; No. 17-096/V
- Classification
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Wirtschaft
Methodological Issues: General
Single Equation Models: Single Variables: Instrumental Variables (IV) Estimation
Demand and Supply of Labor: General
- Subject
-
Instrumental variables
plausibly exogenous
exclusion restriction
- Event
-
Geistige Schöpfung
- (who)
-
van Kippersluis, Hans (J.L.W.)
Rietveld, Niels
- Event
-
Veröffentlichung
- (who)
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Tinbergen Institute
- (where)
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Amsterdam and Rotterdam
- (when)
-
2017
- Handle
- Last update
-
10.03.2025, 11:42 AM CET
Data provider
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ZBW - Deutsche Zentralbibliothek für Wirtschaftswissenschaften - Leibniz-Informationszentrum Wirtschaft. If you have any questions about the object, please contact the data provider.
ZBW - Deutsche Zentralbibliothek für Wirtschaftswissenschaften - Leibniz-Informationszentrum Wirtschaft. If you have any questions about the object, please contact the data provider.
Object type
- Arbeitspapier
Associated
- van Kippersluis, Hans (J.L.W.)
- Rietveld, Niels
- Tinbergen Institute
Time of origin
- 2017
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