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This paper studies the identification of the coefficients in a linear equation when data on the outcome, covariates, and an error-laden proxy for a latent variable are available. We maintain that the measurement error in the proxy is classical and relax the assumption that the proxy is excluded...
Persistent link: https://www.econbiz.de/10012901951
Limited by the lack of data on gun ownership in the United States, ecological research linking firearms ownership rates to homicide often relies on proxy measures of ownership. Although the variable of interest is the gun ownership rate, not the proxy, the existing research does not formally...
Persistent link: https://www.econbiz.de/10012823014
We characterize the sharp identification regions for the coefficients in a system of linear equations that share an explanatory variable measured with classical error. We demonstrate the identification gain from analyzing the equations jointly. We derive the sharp identification regions under...
Persistent link: https://www.econbiz.de/10012865739
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Local governments often seek credit ratings from multiple agencies for external financing. Rating shopping and catering, the incentives of the rating agencies, and the career incentives of the analysts issuing the ratings may render the ratings interdependent. This paper estimates the feedback...
Persistent link: https://www.econbiz.de/10013403612
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