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Invalidity of the Bootstrap and the m Out of n Bootstrap for Interval Endpoints Defined by Moment Inequalities

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Author Info
Donald W.K. Andrews () (Cowles Foundation, Yale University)
Sukjin Han (Dept. of Economics, Yale University)

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Abstract

This paper analyzes the finite-sample and asymptotic properties of several bootstrap and m out of n bootstrap methods for constructing confidence interval (CI) endpoints in models defined by moment inequalities. In particular, we consider using these methods directly to construct CI endpoints. By considering two very simple models, the paper shows that neither the bootstrap nor the m out of n bootstrap is valid in finite samples or in a uniform asymptotic sense in general when applied directly to construct CI endpoints. In contrast, other results in the literature show that other ways of applying the bootstrap, m out of n bootstrap, and subsampling do lead to uniformly asymptotically valid confidence sets in moment inequality models. Thus, the uniform asymptotic validity of resampling methods in moment inequality models depends on the way in which the resampling methods are employed.

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File URL: http://cowles.econ.yale.edu/P/cd/d16b/d1671.pdf
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Publisher Info
Paper provided by Cowles Foundation, Yale University in its series Cowles Foundation Discussion Papers with number 1671.

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Length: 23 pages
Date of creation: Jul 2008
Date of revision:
Publication status: Published in Econometrics Journal (2009), 12: S172-S199
Handle: RePEc:cwl:cwldpp:1671

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Postal: Yale University, Box 208281, New Haven, CT 06520-8281 USA
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Web page: http://cowles.econ.yale.edu/
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Postal: Cowles Foundation, Yale University, Box 208281, New Haven, CT 06520-8281 USA

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Related research
Keywords: Bootstrap; Coverage probability; m out of n bootstrap; Moment inequality model; Partial identification; Subsampling;

Find related papers by JEL classification:
C01 - Mathematical and Quantitative Methods - - General - - - Econometrics

This paper has been announced in the following NEP Reports:

References listed on IDEAS
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  1. Richard Samworth, 2003. "A note on methods of restoring consistency to the bootstrap," Biometrika, Oxford University Press for Biometrika Trust, vol. 90(4), pages 985-990, December.
  2. Guido W. Imbens & Charles F. Manski, 2004. "Confidence Intervals for Partially Identified Parameters," Econometrica, Econometric Society, vol. 72(6), pages 1845-1857, November. [Downloadable!] (restricted)
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  3. Rudolf Beran, 1997. "Diagnosing Bootstrap Success," Annals of the Institute of Statistical Mathematics, Springer, vol. 49(1), pages 1-24, March. [Downloadable!] (restricted)
  4. Victor Chernozhukov & Han Hong & Elie Tamer, 2007. "Estimation and Confidence Regions for Parameter Sets in Econometric Models," Econometrica, Econometric Society, vol. 75(5), pages 1243-1284, 09. [Downloadable!] (restricted)
  5. Charles F. Manski & Elie Tamer, 2002. "Inference on Regressions with Interval Data on a Regressor or Outcome," Econometrica, Econometric Society, vol. 70(2), pages 519-546, March. [Downloadable!] (restricted)
  6. Joseph Romano, 1988. "Bootstrapping the mode," Annals of the Institute of Statistical Mathematics, Springer, vol. 40(3), pages 565-586, September. [Downloadable!] (restricted)
  7. Donald W. K. Andrews, 2000. "Inconsistency of the Bootstrap when a Parameter Is on the Boundary of the Parameter Space," Econometrica, Econometric Society, vol. 68(2), pages 399-406, March.
  8. Donald W. K. Andrews, 1999. "Estimation When a Parameter Is on a Boundary," Econometrica, Econometric Society, vol. 67(6), pages 1341-1384, November.
  9. Romano, Joseph P & Wolf, Michael, 2001. "Subsampling Intervals in Autoregressive Models with Linear Time Trend," Econometrica, Econometric Society, vol. 69(5), pages 1283-1314, September.
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This page was last updated on 2009-12-1.


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