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A test of non-identifying restrictions and confidence regions for partially identified parameters

Alfred Galichon, Marc Henry

arXiv 8 Feb 2021 · Econometrics · publishedJournal of Econometrics (2009) · 69 citations (OpenAlex)

arXiv:2102.04151 · PDF · DOI · OpenAlex · Extracted main text

Abstract

We propose an easily implementable test of the validity of a set of theoretical restrictions on the relationship between economic variables, which do not necessarily identify the data generating process. The restrictions can be derived from any model of interactions, allowing censoring and multiple equilibria. When the restrictions are parameterized, the test can be inverted to yield confidence regions for partially identified parameters, thereby complementing other proposals, primarily Chernozhukov et al. [Chernozhukov, V., Hong, H., Tamer, E., 2007. Estimation and confidence regions for parameter sets in econometric models. Econometrica 75, 1243-1285].

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53
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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, Victor, Hong, Han, Tamer, Elie (2007) Estimation and Confidence Regions for Parameter Sets in Econometric Models1.00063100%
2Jovanovic, Boyan (1989) Observable implications of models with multiple equilibria1.00053100%
3Koopmans, Tjallin, Reiersol, O (1950) The identification of structural characteristics1.00053100%
4Andrews, Donald, Berry, Steven, Jia, Panle (2003) Placing bounds on parameters of entry games in the presence of multiple equilibria0.87452100%
5Andrews, Donald (1997) A conditional Kolmogorov test0.81142100%
6Anderson, T., Rubin, H (1949) Estimation of the parameters of a single equation in a complete system of stochastic equations0.64422100%
7Ciliberto, Federico, Tamer, Elie (2006) Market structure and multiple equilibria in airline markets0.64422100%
8Manski, Charles (2005) Partial identification in econometrics0.64422100%
9Pakes, Ariel, Porter, Jack, Ho, Kate, Ishii, Joy (2004) Moment inequalities and their application0.64422100%
10Roehrig, C (1988) Conditions for identification in parametric and nonparametric models0.64422100%

Showing the top 10 of 53 scored citations.

Cited by, within the corpus

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1Set identification in models with multiple equilibria0.92844
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8Sharp bounds and testability of a Roy model of STEM major choices0.40511
9Robust Likelihood Ratio Tests for Incomplete Economic Models0.40511
10Policy Transforms and Learning Optimal Policies I thank Jiaying Gu, Ismael Mourifie, Eduardo Souza-Rodrigues, Adam Rosen, Stanislav Volgushev and Yuanyuan Wan for their feedback and encouragement, and I am especially grateful to JoonHwan Cho for many hours of discussion that helped to improve this paper. A previous version of this paper appeared in my doctoral thesis at the University of Toronto. This research was supported by the Social Sciences and Humanities Research Council of Canada. All errors are my own0.40511