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An asymptotic variance inequality for instrumental variable estimators signaling proportional bias increases

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  • Kim, Yun-Yeong

Abstract

An asymptotic variance inequality for instrumental variable (IV) estimators is proposed, which suggests a critical variance that signals proportional increases in the bias of IV estimators through the augmentation of a set of instruments.

Suggested Citation

  • Kim, Yun-Yeong, 2011. "An asymptotic variance inequality for instrumental variable estimators signaling proportional bias increases," Economics Letters, Elsevier, vol. 112(1), pages 53-55, July.
    • Handle: RePEc:eee:ecolet:v:112:y:2011:i:1:p:53-55
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    References listed on IDEAS

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    1. Phillips, P C B, 1980. "The Exact Distribution of Instrumental Variable Estimators in an Equation Containing n + 1 Endogenous Variables," Econometrica, Econometric Society, vol. 48(4), pages 861-878, May.
    2. Buse, A, 1992. "The Bias of Instrumental Variable Estimators," Econometrica, Econometric Society, vol. 60(1), pages 173-180, January.
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