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Nonparametric Analysis of Treatment Effects in Ordered Response Models

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Author Info
Stefan Boes () (Socioeconomic Institute, University of Zurich)

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Abstract

This paper deals with the identification of treatment effects when the outcome variable is ordered. If outcomes are measured ordinally, previously developed methods to investigate the impact of an endogenous binary regressor on average outcomes cannot be applied as the expectation of an ordered variable, in its strict sense, does not exist, and a shift in focus to distributional effects is indispensable. Without imposing a fully fledged parametric model the treatment effects are generally not point-identified. Assuming a threshold crossing model on both the ordered potential outcomes and the binary treatment variable leaving the distribution of error terms and functional forms unspecified, it is discussed how the treatment effects can be bounded and inference on the bounds can be conducted.

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File URL: http://www.soi.uzh.ch/research/wp/2007/wp0709.pdf
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Publisher Info
Paper provided by University of Zurich, Socioeconomic Institute in its series Working Papers with number 0709.

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Length: 42 pages
Date of creation: Jul 2007
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Handle: RePEc:soz:wpaper:0709

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Related research
Keywords: Nonparametric bounds; causal effects; potential outcomes; latent variables;

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Find related papers by JEL classification:
C14 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods: General - - - Semiparametric and Nonparametric Methods
C25 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Discrete Regression and Qualitative Choice Models
C35 - Mathematical and Quantitative Methods - - Multiple or Simultaneous Equation Models; Multiple Variables - - - Discrete Regression and Qualitative Choice Models

References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:

  1. Dennis Gaertner & Armin Schmutzler, 2006. "Merger Negotiations and Ex-Post Regret," Working Papers 0607, University of Zurich, Socioeconomic Institute, revised Dec 2007. [Downloadable!]
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  2. Adrian Bruhin & Thomas Epper, 2007. "Risk and Rationality: Uncovering Heterogeneity in Probability Distortion," Working Papers 0705, University of Zurich, Socioeconomic Institute, revised Jul 2007. [Downloadable!]
  3. Rafael Lalive & Armin Schmutzler, 2005. "Exploring the Effects of Competition for Railway Markets," Working Papers 0511, University of Zurich, Socioeconomic Institute, revised Apr 2007. [Downloadable!]
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  4. Hans Gersbach & Armin Schmutzler, 2006. "A Product-Market Theory of Industry-Specific Training," Working Papers 0610, University of Zurich, Socioeconomic Institute. [Downloadable!]
  5. Philippe Mahler & Rainer Winkelmann, 2005. "Single Motherhood and (Un)Equal EducationalOpportunities: Evidence for Germany," Working Papers 0512, University of Zurich, Socioeconomic Institute. [Downloadable!]
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  6. Stefan Boes & Rainer Winkelmann, 2005. "Ordered Response Models," Working Papers 0507, University of Zurich, Socioeconomic Institute. [Downloadable!]
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  7. Hans Gersbach & Armin Schmutzler, 2006. "Foreign Direct Investment and R&D offshoring," Working Papers 0606, University of Zurich, Socioeconomic Institute. [Downloadable!]
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  8. Boes, Stefan & Winkelmann, Rainer, 2004. "Income and Happiness: New Results from Generalized Threshold and Sequential Models," IZA Discussion Papers 1175, Institute for the Study of Labor (IZA). [Downloadable!]
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  9. Rafael Lalive & Armin Schmutzler, 2006. "Entry in liberalized railway markets: The German experience," Working Papers 0609, University of Zurich, Socioeconomic Institute, revised Apr 2007. [Downloadable!]
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  10. Stefan Boes & Markus Lipp & Rainer Winkelmann, 2005. "Money Illusion Under Test," Working Papers 0514, University of Zurich, Socioeconomic Institute. [Downloadable!]
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  11. Gersbach, Hans & Schmutzler, Armin, 2007. "Does Globalization Create Superstars?," CEPR Discussion Papers 6222, C.E.P.R. Discussion Papers. [Downloadable!] (restricted)
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  12. Dennis L. Gärtner & Daniel Halbheer, 2008. "Are There Waves in Merger Activity After All?," Working Papers 0092, University of Zurich, Institute for Strategy and Business Economics (ISU). [Downloadable!]
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  13. Sandra Hanslin & Rainer Winkelmann, 2006. "The Apple Falls Increasingly Far: Parent-Child Correlation in Schooling and the Growth of Post-Secondary Education in Switzerland," Working Papers 0603, University of Zurich, Socioeconomic Institute. [Downloadable!]
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  14. Stefan Boes & Rainer Winkelmann, 2006. "The Effect of Income on Positive and Negative Subjective Well-Being," Working Papers 0605, University of Zurich, Socioeconomic Institute. [Downloadable!]
  15. Samuel Muehlemann & Juerg Schweri & Rainer Winkelmann & Stefan C. Wolter, 2005. "A Structural Model of Demand for Apprentices," CESifo Working Paper Series CESifo Working Paper No. , CESifo Group Munich. [Downloadable!]
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  16. Thomas Borek & Stefan Buehler & Armin Schmutzler, 2004. "Mergers under Asymmetric Information – Is there a Lemons Problem?," Working Papers 0408, University of Zurich, Socioeconomic Institute. [Downloadable!]
  17. Edward Vytlacil, 2006. "A Note on Additive Separability and Latent Index Models of Binary Choice: Representation Results," Oxford Bulletin of Economics and Statistics, Department of Economics, University of Oxford, vol. 68(4), pages 515-518, 08. [Downloadable!] (restricted)
  18. Donja Darai & Dario Sacco & Armin Schmutzler, 2009. "Competition and Innovation: An Experimental Investigation," Working Papers 0608, University of Zurich, Socioeconomic Institute, revised Apr 2007. [Downloadable!]
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  19. Yves Schneider & Peter Zweifel, 2005. "Spatial Effects in Willingness-to-Pay: The Case of Two Nuclear Risks," Working Papers 0502, University of Zurich, Socioeconomic Institute, revised Sep 2007. [Downloadable!]
  20. Stefan Boes, 2007. "Count Data Models with Unobserved Heterogeneity: An Empirical Likelihood Approach," Working Papers 0704, University of Zurich, Socioeconomic Institute. [Downloadable!]
Full references

Cited by:
(explanations, Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.)

  1. Dario Sacco & Armin Schmutzler, 2008. "Competition and Innovation: An Experimental Investigation," Working Papers 0807, University of Zurich, Socioeconomic Institute. [Downloadable!]
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  2. Johannes Schoder & Peter Zweifel, 2008. "Managed Care Konzepte und Lösungsansätze– Ein internationaler Vergleich aus schweizerischer Sicht," Working Papers 0801, University of Zurich, Socioeconomic Institute. [Downloadable!]
  3. Dennis Gaertner, 2007. "Monopolistic Screening under Learning By Doing," Working Papers 0718, University of Zurich, Socioeconomic Institute. [Downloadable!]
  4. Josef Falkinger, 2008. "Between Agora and Shopping Mall," Working Papers 0805, University of Zurich, Socioeconomic Institute. [Downloadable!]
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  5. Adrian Bruhin, 2008. "Stochastic Expected Utility and Prospect Theory in a Horse Race: A Finite Mixture Approach," Working Papers 0803, University of Zurich, Socioeconomic Institute. [Downloadable!]
  6. Dennis Gaertner, 2007. "Why Bayes Rules: A Note on Bayesian vs. Classical Inference in Regime Switching Models," Working Papers 0719, University of Zurich, Socioeconomic Institute. [Downloadable!]
  7. Dario Sacco & Armin Schmutzler, 2008. "All-Pay Auctions with Negative Prize Externalities: Theory and Experimental Evidence," Working Papers 0806, University of Zurich, Socioeconomic Institute. [Downloadable!]
  8. Daniel Halbheer & Ernst Fehr & Lorenz Goette & Armin Schmutzler, 2007. "Self-Reinforcing Market Dominance," Working Papers 0711, University of Zurich, Socioeconomic Institute. [Downloadable!]
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