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Decentralization Estimators for Instrumental Variable Quantile Regression Models

Hiroaki Kaido, Kaspar Wuthrich

arXiv 28 Dec 2018 · Econometrics · publishedQuantitative Economics (2021) · 17 citations (OpenAlex)

arXiv:1812.10925 · PDF · DOI · OpenAlex · Extracted main text

Abstract

The instrumental variable quantile regression (IVQR) model (Chernozhukov and Hansen, 2005) is a popular tool for estimating causal quantile effects with endogenous covariates. However, estimation is complicated by the non-smoothness and non-convexity of the IVQR GMM objective function. This paper shows that the IVQR estimation problem can be decomposed into a set of conventional quantile regression sub-problems which are convex and can be solved efficiently. This reformulation leads to new identification results and to fast, easy to implement, and tuning-free estimators that do not require the availability of high-level "black box" optimization routines.

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Most heavily cited references

The works this paper leans on most, across its whole bibliography — not restricted to papers in our corpus. Ranked by composite intensity, which combines how often a work is mentioned, how many sections mention it, and how much of that falls in the main text rather than the appendix.

ReferenceIntensityMentionsSectionsMain text
1Chernozhukov and Hansen (2005) An IV Model of Quantile Treatment Effects1.00063100%
2Chernozhukov and Hansen (2006) Instrumental quantile regression inference for structural and treatment effects models0.93717882%
3Chernozhukov and Hansen (2004) The Effects of 401(k) Participation on the Wealth Distribution: An Instrumental Quantile Regression Analysis0.87482100%
4Andrews and Mikusheva (2016) Conditional Inference With a Functional Nuisance Parameter0.7374350%
5Chernozhukov and Hansen (2013) Quantile Models with Endogeneity0.73732100%
6Chernozhukov, Hansen, and Wüthrich (2017) Instrumental Variable Quantile Regression0.73732100%
7Koenker (2017) Computational Methods for Quantile Regression0.73732100%
8Dominitz and Sherman (2005) Some convergence theory for iterative estimation procedures with an application to semiparametric estimation0.6597243%
9R Core Team (2019) R: A Language and Environment for Statistical Computing0.64441100%
10Kaplan and Sun (2017) Smoothed Estimation Equations for Instrumental Variables Quantile Regression0.64422100%

Showing the top 10 of 77 scored citations.

Cited by, within the corpus

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11420 Dynamic Discrete-Continuous Choice Models: Identification and Conditional Choice Probability Estimation0.84333
2Gradient Wild Bootstrap for Instrumental Variable Quantile Regressions with Weak and Few Clusters0.64422
3Learning non-smooth models: instrumental variable quantile regressions and related problems0.40511
4Averaging estimation for instrumental variables quantile regression0.40511
5Identification of multi-valued treatment effects with unobserved heterogeneity0.40511
6Bias correction for quantile regression estimators0.40511
7A first-stage representation for instrumental variables quantile regression0.40511
8Instrumental variable estimation of the proportional hazards model by presmoothing0.40511
9Confidence intervals for intentionally biased estimators0.40511
10Beyond the Average: Distributional Causal Inference under Imperfect Compliance0.40511