This paper compares asymptotic and finite sample properties of linear IV and bivariate probit in models with an endogenous binary treatment and binary outcome. The results provide guidance on the choice of model specification and help to explain large differences in the estimates depending on...

A method is proposed for testing the robustness of the assessed targeting performance of an anti-poverty program to the fact that program administrators have a broader concept of "poverty" than the economist/evaluator. An application is given to China's main urban anti-poverty program.