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In an important and provocative paper, `Does Compulsory School Attendance Affect Schooling and Earnings?', Angrist and … of their estimates, they argue that compulsory school attendance laws alone account for the association between quarter … strong to be fully explained by compulsory school attendance laws in the samples studied by Angrist and Krueger. Moreover …
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Instrumental Variables (IV) estimates tend to be biased in the same direction as Ordinary Least Squares (OLS) in finite samples if the instruments are weak. To address this problem we propose a new IV estimator which we call Split Sample Instrumental Variables (SSIV). SSIV works as follows: we...
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