Two approaches for dealing with "endogenous selection" problems when estimating causal effects are considered. They are principal stratification and selection models. The main goal is to highlight similarities and differences between the two approaches, by investigating the different nature of...

This paper measures to what extent Temporary Work Agency (TWA) employment creates a "springboard" toward permanent jobs, or a "trap" of endless precariousness. Applying Propensity Score matching in the presence of choice-based sampling, we estimate the causal effect of the treatment "TWA...

We develop new methods for analyzing randomized experiments with noncompliance and, by extension, instrumental variable settings, when the often controversial, but key, exclusion restriction assumption is violated. We show how existing large-sample bounds on intention-to-treat effects for the...

The estimation of limited dependent variable panel data models usually involves objective functions in which integrals appear without a closed form solution: this is the case of the panel data Tobit model with random effects. Recently, simulation methods have shown to be useful in the inference...

The theoretical literature has pointed at the importance of access to credit market in determining the household decisions concerning children's activities and the reaction of households to adverse shocks. In this paper we address these issues making use of a unique data set for Guatemala that...