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A Note on Identification of Match Fixed Effects as Interpretable Unobserved Match Affinity

Suguru Otani, Tohya Sugano

arXiv 27 Jun 2024 · Econometrics

arXiv:2406.18913 · PDF · DOI · OpenAlex · Extracted main text

Abstract

We highlight that match fixed effects, represented by the coefficients of interaction terms involving dummy variables for two elements, lack identification without specific restrictions on parameters. Consequently, the coefficients typically reported as relative match fixed effects by statistical software are not interpretable. To address this, we establish normalization conditions that enable identification of match fixed effect parameters as interpretable indicators of unobserved match affinity, facilitating comparisons among observed matches. Using data from middle school students in the 2007 Trends in International Mathematics and Science Study (TIMSS), we highlight the distribution of comparable match fixed effects within a specific school.

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8
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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
1Inoue, A. and Tanaka, R (2023) Do teachers’ college majors affect students’ academic achievement in the sciences? a cross-subfields analysis with student-teach…0.81142100%
2Biolsi, C., Goff, B. and Wilson, D (2022) Task-level match effects and worker productivity: evidence from pitchers and catchers0.40511100%
3Dillon, E. W. and Smith, J. A (2020) The consequences of academic match between students and colleges0.40511100%
4Ferreira, P. and Taylor, M (2011) Measuring match quality using subjective data0.40511100%
5Hansen, B (2022) Econometrics0.40511100%
6Jackson, C. K (2013) Match quality, worker productivity, and worker mobility: Direct evidence from teachers0.40511100%
7Mittag, N (2019) A simple method to estimate large fixed effects models applied to wage determinants0.40511100%
8Ovidi, M (2022) Parents Know Better: Sorting on Match Effects in Primary School0.40511100%

Showing the top 8 of 8 scored citations.