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This paper examines how including latent variables can benefit propensity score matching. Latent variables can be estimated from the observed manifest variables and used in matching. This paper demonstrates the benefits of such an approach by comparing it with a method where the manifest...
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The Mincer equation-arguably the most widely used in empirical work-can be used to explain a host of economic, and even non-economic, phenomena. One such application involves explaining (and estimating) employment earnings as a function of schooling and labor market experience. The Mincer...
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