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In econometrics, most null hypotheses are composite, dividing the parameters into parameters of interest and nuisance parameters. The domain of the nuisance parameters can influence the size-corrected critical value and hence the power of a test. We show that the domain of the nuisance...
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Models of job creation and destruction emphasize the endogeneity of the decision to start up or kill off a job. Faced with random and largely idiosyncratic shocks to productivity, firms adopt a reservation strategy for keeping a job in existence. This reservation productivity depends upon the...
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Much empirical research in the social sciences is concerned with estimating conditional mean functions. The most frequently used estimation methods assume that the conditional mean function is known up to a set of constant parameters that can be estimated from data. Such methods are called...
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