Using Matching, Instrumental Variables, and Control Functions to Estimate Economic Choice Models

A-Tier
Journal: Review of Economics and Statistics
Year: 2004
Volume: 86
Issue: 1
Pages: 30-57

Score contribution per author:

2.011 = (α=2.01 / 2 authors) × 2.0x A-tier

α: calibrated so average coauthorship-adjusted count equals average raw count

Abstract

This paper investigates four topics. (1) It examines the different roles played by the propensity score (the probability of selection into treatment) in matching, instrumental variable, and control function methods. (2) It contrasts the roles of exclusion restrictions in matching and selection models. (3) It characterizes the sensitivity of matching to the choice of conditioning variables and demonstrates the greater robustness of control function methods to misspecification of the conditioning variables. (4) It demonstrates the problem of choosing the conditioning variables in matching and the failure of conventional model selection criteria when candidate conditioning variables are not exogenous in a sense defined in this paper. 2004 President and Fellows of Harvard College and the Massachusetts Institute of Technology.

Technical Details

RePEc Handle
repec:tpr:restat:v:86:y:2004:i:1:p:30-57
Journal Field
General
Author Count
2
Added to Database
2026-01-26