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Identification and Estimation of Unconditional Policy Effects of an Endogenous Binary Treatment: An Unconditional MTE Approach

Julian Martinez-Iriarte, Yixiao Sun

arXiv 29 Oct 2020 · Econometrics · publishedJournal of Econometrics (2024) · 3 citations (OpenAlex)

arXiv:2010.15864 · PDF · DOI · OpenAlex · Extracted main text

Abstract

This paper studies the identification and estimation of policy effects when treatment status is binary and endogenous. We introduce a new class of marginal treatment effects (MTEs) based on the influence function of the functional underlying the policy target. We show that an unconditional policy effect can be represented as a weighted average of the newly defined MTEs over the individuals who are indifferent about their treatment status. We provide conditions for point identification of the unconditional policy effects. When a quantile is the functional of interest, we introduce the UNconditional Instrumental Quantile Estimator (UNIQUE) and establish its consistency and asymptotic distribution. In the empirical application, we estimate the effect of changing college enrollment status, induced by higher tuition subsidy, on the quantiles of the wage distribution.

Citation extraction

31
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87
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32
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appendix boundary found by appendix_titled_section at “Appendix: Proof of the Main Results” · 53% of the source is main text. Read the extracted text to check this.

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
1Pedro Carneiro, James J. Heckman \ Edward Vytlacil (2010) Evaluating Marginal Policy Changes and the Average Effect of Treatment for Individuals at the Margin1.00073100%
2Pedro Carneiro, James J. Heckman \ Edward Vytlacil (2011) Estimating Marginal Returns to Education1.00063100%
3Pedro Carneiro \ Sokbae Lee (2009) Estimating Distributions of Potential Outcomes Using Local Instrumental Variables with an Application to Changes in College Enro…0.9285380%
4Sergio Firpo, Nicole M. Fortin \ Thomas Lemieux (2009) Unconditional Quantile Regressions0.87492100%
5James J. Heckman \ Edward Vytlacil (2001) Local Instrumental Variables0.8434475%
6Julian Martinez-Iriarte \ Yixiao Sun (2021) Identification and Estimation of Unconditional Policy Effects of an Endogenous Binary Treatment0.8434475%
7Jinyong Hahn \ Geert Ridder (2013) Asymptotic Variance of Semiparametric Estimators with Generated Regressors0.8434375%
8James J. Heckman \ Edward Vytlacil (2005) Structural Equations, Treatment Effects, and Econometric Policy Evaluation0.81142100%
9Julian Martinez-Iriarte, Gabriel Montes-Rojas \ Yixiao Sun (2024) Unconditional Effects of General Policy Interventions self0.73732100%
10Whitney K. Newey (1994) The Asymptotic Variance of Semiparametric Estimators0.71411255%

Showing the top 10 of 32 scored citations.

Cited by, within the corpus

arXiv econ.EM papers that cite this one, ranked by how heavily they lean on it.

Citing paperIntensityMentionsSections
1Sensitivity Analysis in Unconditional Quantile Effects0.64422
2Unconditional Effects of General Policy Interventions0.51122