
handle: 10419/38673 , 10419/64705
Dealing with endogenous regressors is a central challenge of applied research. The standard solution is to use instrumental variables that are assumed to be uncorrelated with unobservables. We instead assume (i) the correlation between the instrument and the error term has the same sign as the correlation between the endogenous regressor and the error term, and (ii) that the instrument is less correlated with the error term than is the endogenous regressor. Using these assumptions, we derive analytic bounds for the parameters. We demonstrate the method in two applications.
ddc:330, instrumental variables, endogenous regressors, Regression, Ökonometrie, Fehlerkorrekturmodell, Korrelation, jel: jel:C30, jel: jel:C31, jel: jel:C01, jel: jel:C13, jel: jel:C21, jel: jel:C33
ddc:330, instrumental variables, endogenous regressors, Regression, Ökonometrie, Fehlerkorrekturmodell, Korrelation, jel: jel:C30, jel: jel:C31, jel: jel:C01, jel: jel:C13, jel: jel:C21, jel: jel:C33
| selected citations These citations are derived from selected sources. This is an alternative to the "Influence" indicator, which also reflects the overall/total impact of an article in the research community at large, based on the underlying citation network (diachronically). | 220 | |
| popularity This indicator reflects the "current" impact/attention (the "hype") of an article in the research community at large, based on the underlying citation network. | Top 1% | |
| influence This indicator reflects the overall/total impact of an article in the research community at large, based on the underlying citation network (diachronically). | Top 1% | |
| impulse This indicator reflects the initial momentum of an article directly after its publication, based on the underlying citation network. | Top 10% |
