TY - JOUR
T1 - Testing local average treatment effect assumptions
AU - Mourifié, Ismael
AU - Wan, Yuanyuan
N1 - Publisher Copyright:
© 2017 The President and Fellows of Harvard College and the Massachusetts Institute of Technology.
PY - 2017/5/1
Y1 - 2017/5/1
N2 - In this paper, we propose an easy-to-implement procedure to test the key conditions for the identification and estimation of the local average treatment effect (LATE; Imbens & Angrist, 1994). We reformulate the testable implications of LATE assumptions as two conditional inequalities, which can be tested in the intersection bounds framework of Chernozhukov, Lee, and Rosen (2013) and easily implemented using the Stata package of Chernozhukov et al. (2015). We apply the proposed tests to the draft eligibility instrument in Angrist (1991), the college proximity instrument in Card (1993), and the same-sex instrument in Angrist and Evans (1998).
AB - In this paper, we propose an easy-to-implement procedure to test the key conditions for the identification and estimation of the local average treatment effect (LATE; Imbens & Angrist, 1994). We reformulate the testable implications of LATE assumptions as two conditional inequalities, which can be tested in the intersection bounds framework of Chernozhukov, Lee, and Rosen (2013) and easily implemented using the Stata package of Chernozhukov et al. (2015). We apply the proposed tests to the draft eligibility instrument in Angrist (1991), the college proximity instrument in Card (1993), and the same-sex instrument in Angrist and Evans (1998).
UR - https://www.scopus.com/pages/publications/85018774284
U2 - 10.1162/REST_a_00622
DO - 10.1162/REST_a_00622
M3 - Article
AN - SCOPUS:85018774284
SN - 0034-6535
VL - 99
SP - 305
EP - 313
JO - Review of Economics and Statistics
JF - Review of Economics and Statistics
IS - 2
ER -