Asymptotic bias reduction for a conditional marginal effects estimator in sample selection models

C-Tier
Journal: Applied Economics
Year: 2008
Volume: 40
Issue: 24
Pages: 3101-3110

Score contribution per author:

0.503 = (α=2.01 / 2 authors) × 0.5x C-tier

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

Abstract

In this article we discuss the differences between the average marginal effect and the marginal effect of the average individual in sample selection models, estimated by the Heckman procedure. We show that the bias that emerges as a consequence of interchanging the measures, could be very significant, even in the limit. We suggest a computationally cheap approximation method, which corrects the bias to a large extent. We illustrate the implications of our method with an empirical application of earnings assimilation and a small Monte Carlo simulation.

Technical Details

RePEc Handle
repec:taf:applec:v:40:y:2008:i:24:p:3101-3110
Journal Field
General
Author Count
2
Added to Database
2026-01-24