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Persistent link: https://www.econbiz.de/10012650259
This paper focuses on the bivariate probit model's identifying assumptions: joint normality of errors, instrument exogeneity, and relevance conditions. First, we develop novel sharp testable equalities that can detect all possible observable violations of the assumptions. Second, we propose an...
Persistent link: https://www.econbiz.de/10013236859
Persistent link: https://www.econbiz.de/10014287996