This paper fixes size distortions of tests for structural parameters in the simultaneous equations model by computing critical value functions based on the conditional distribution of test statistics. The conditional tests can then be used to construct informative confidence regions for the...

Classical exponential-family statistical theory is employed to characterize the class of exactly similar tests for a structural coefficient in a simultaneous equations model with normal errors and known reduced-form covariance matrix. We also find a necessary condition for tests to be unbiased...