Nonparametric identification of the distribution of random coefficients in binary response static games of complete information

A-Tier
Journal: Journal of Econometrics
Year: 2018
Volume: 206
Issue: 1
Pages: 83-102

Authors (4)

Dunker, Fabian (not in RePEc) Hoderlein, Stefan (Boston College) Kaido, Hiroaki (Boston University) Sherman, Robert (not in RePEc)

Score contribution per author:

1.005 = (α=2.01 / 4 authors) × 2.0x A-tier

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

Abstract

This paper studies binary response static games of complete information allowing complex heterogeneity through a random coefficients specification. The main result of the paper establishes nonparametric point identification of the joint density of all random coefficients except those on interaction effects. Under additional independence assumptions, we identify the joint density of the interaction coefficients. Moreover, we prove that in the presence of covariates that are common to both players, the player-specific coefficient densities are identified, while the joint density of all random coefficients is not point-identified. However, we do provide bounds on counterfactual probabilities that involve this joint density.

Technical Details

RePEc Handle
repec:eee:econom:v:206:y:2018:i:1:p:83-102
Journal Field
Econometrics
Author Count
4
Added to Database
2026-01-25