Arbeitspapier

Bounds on counterfactual distributions under semi-monotonicity constraints

This paper explores semi-monotonicity constraints in the distribution of potential outcomes, first, conditional on an instrument, and second, in terms of the response function. The imposed assumptions are strictly weaker than traditional instrumental variables assumptions and can be gainfully employed to bound the counterfactual distributions, even though point identification is only achieved in special cases. The bounds have a simple analytical form and thus have much practical relevance in all instances when strong exogeneity assumptions cannot be credibly invoked. The bounding strategy is illustrated in a simulated data example and applied to the effect of education on smoking.

Language
Englisch

Bibliographic citation
Series: Working Paper ; No. 0920

Classification
Wirtschaft
Semiparametric and Nonparametric Methods: General
Single Equation Models; Single Variables: Cross-Sectional Models; Spatial Models; Treatment Effect Models; Quantile Regressions
Single Equation Models; Single Variables: Discrete Regression and Qualitative Choice Models; Discrete Regressors; Proportions; Probabilities
Subject
nonparametric bounds
treatment effects
causality
endogeneity
instrumental variables
policy evaluation
Wirkungsanalyse
Kausalanalyse
Statistische Verteilung
Instrumentalvariablen-Schätzmethode
Theorie

Event
Geistige Schöpfung
(who)
Boes, Stefan
Event
Veröffentlichung
(who)
University of Zurich, Socioeconomic Institute
(where)
Zurich
(when)
2009

Handle
Last update
10.03.2025, 11:43 AM CET

Data provider

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Object type

  • Arbeitspapier

Associated

  • Boes, Stefan
  • University of Zurich, Socioeconomic Institute

Time of origin

  • 2009

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