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Testing Partial Instrument Monotonicity

Hongyi Jiang, Zhenting Sun

arXiv 16 Aug 2023 · Econometrics · publishedEconomics Letters (2023) · 1 citations (OpenAlex)

arXiv:2308.08390 · PDF · DOI · OpenAlex · Extracted main text

Abstract

When multi-dimensional instruments are used to identify and estimate causal effects, the monotonicity condition may not hold due to heterogeneity in the population. Under a partial monotonicity condition, which only requires the monotonicity to hold for each instrument separately holding all the other instruments fixed, the 2SLS estimand can still be a positively weighted average of LATEs. In this paper, we provide a simple nonparametric test for partial instrument monotonicity. We demonstrate the good finite sample properties of the test through Monte Carlo simulations. We then apply the test to monetary incentives and distance from results centers as instruments for the knowledge of HIV status.

Citation extraction

11
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45
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distinct cited
2
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3,074
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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
1Kitagawa, T (2015) A test for instrument validity0.9507386%
2Sun, Z (2023) Instrument validity for heterogeneous causal effects self0.93511382%
3Mogstad, M., Torgovitsky, A., and Walters, C. R (2021) The causal interpretation of two-stage least squares with multiple instrumental variables0.92314379%
4Thornton, R. L (2008) The demand for, and impact of, learning HIV status0.6936333%
5Beare, B. K. and Shi, X (2019) An improved bootstrap test of density ratio ordering0.40511100%
6Sun, Z. and Beare, B. K (2021) Improved nonparametric bootstrap tests of Lorenz dominance self0.40511100%
7Huber, M. and Mellace, G (2015) Testing instrument validity for LATE identification based on inequality moment constraints0.40511100%
8Lee, S., Song, K., and Whang, Y.-J (2013) Testing functional inequalities0.40511100%
9Linton, O., Song, K., and Whang, Y.-J (2010) An improved bootstrap test of stochastic dominance0.40511100%
10Mourifié, I. and Wan, Y (2017) Testing local average treatment effect assumptions0.40511100%

Showing the top 10 of 11 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
1Pairwise Valid Instruments0.51121
2When does IV identification not restrict outcomes?0.40511