Semiparametric distribution regression with instruments and monotonicity

B-Tier
Journal: Labour Economics
Year: 2024
Volume: 90
Issue: C

Score contribution per author:

2.011 = (α=2.01 / 1 authors) × 1.0x B-tier

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

Abstract

This paper proposes IV-based estimators for the semiparametric distribution regression model in the presence of an endogenous regressor, which are based on an extension of IV probit estimators and the idea of control functions. We discuss the causal interpretation of the estimators and two methods (monotone rearrangement and isotonic regression) to ensure a monotonically increasing distribution function. Asymptotic properties and simulation evidence are provided. An application to income equations with German SOEP data reveals statistically significant and heterogeneous differences to the inconsistent non-IV-based estimator.

Technical Details

RePEc Handle
repec:eee:labeco:v:90:y:2024:i:c:s0927537124000605
Journal Field
Labor
Author Count
1
Added to Database
2026-01-29