become controversial in the wake of recent demonstrations showing that this type of regression is prone to bias in small … samples. Bias may even remain when units are sampled from a larger population of infnite size. This paper uses a combination … of simulated and actual examples to show that, as a practical matter, bias tends to be negligible when the sample size is …

effect having an opposite sign from the true effect. We present an expression for the asymptotic bias of both OLS and IV … estimators and discuss the conditions under which sign reversal may occur. We provide a method for eliminating this bias when …