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Identification of Dynamic Treatment Effects by Instrumental Variables

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  • Ruth Miquel

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    Abstract

    This paper considers the problem of the identification of causal effects using instrumental variables. We are interested in the effects of some treatments on certain outcomes. First, we consider that a participation in a treatment or a program is only possible one time but we have the choice between more than one program. Under a monotonicity condition and an exclusion restriction, pair-wise Local Average Treatment Effects are identifiable. Second, we consider the case where only one program is available but more than one participation is possible, leading to a comparison of sequences of participations (or sequences of programs). In this framework a problem of endogeneity appears: the outcome after one period, affected by the participation in this period, can influence the participation in the next period. Under different versions of the monotonicity condition and the exclusion restriction, identification of the causal effects of sequences of programs are investigated. The introduction of a second period implies a loss of identification for some effects of interest even without any endogeneity problem.

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    File URL: http://www1.vwa.unisg.ch/RePEc/usg/dp2002/dp0211miquel_ganz.pdf
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    Bibliographic Info

    Paper provided by Department of Economics, University of St. Gallen in its series University of St. Gallen Department of Economics working paper series 2002 with number 2002-11.

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    Length: 44 pages
    Date of creation: May 2002
    Date of revision:
    Handle: RePEc:usg:dp2002:2002-11

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    Related research

    Keywords: Compliers; Local Average Treatment Effect; dynamic treatment regimes; nonparametric identification; instruments;

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