Heckman, James J.; Macurdy, Thomas E. - In: Handbook of econometrics : volume 3, (pp. 1917-1977). 1986
This paper presents and extends the index function model of Karl Pearson (1901) that underlies all recent models in labor econometrics. In this framework, censored, truncated and discrete random variables are interpreted as the manifestation of various sampling schemes for underlying index...