IDEAS home Printed from https://ideas.repec.org/a/aea/aecrev/v75y1985i3p293-307.html
   My bibliography  Save this article

What Will Take the Con out of Econometrics?

Author

Listed:
  • McAleer, Michael
  • Pagan, Adrian R
  • Volker, Paul A

Abstract

The paper begins with the question of whether Leamer's Extreme Bounds Analysis (EBA) really does "Take the Con Out of Econometrics" By analytically demonstrating that the extreme bounds are simply functions of the F-statistic for the deletion of variables from a regression, we conclude that the information provided by EBA represents no advance over that available from traditional methods. Furthermore, there is a degree of arbitrariness in EBA which exactly parallels the selective reporting of regressions it was designed to supplant. The last part of the paper attempts a positive response to its title. By following a well defined series of modelling steps, we maintain that Cooley and Le Roy's EBA-derived conclusions concerning the interest elasticity of money demand owe more to a faulty methodology than to the data.
(This abstract was borrowed from another version of this item.)

Suggested Citation

  • McAleer, Michael & Pagan, Adrian R & Volker, Paul A, 1985. "What Will Take the Con out of Econometrics?," American Economic Review, American Economic Association, vol. 75(3), pages 293-307, June.
  • Handle: RePEc:aea:aecrev:v:75:y:1985:i:3:p:293-307
    as

    Download full text from publisher

    File URL: http://links.jstor.org/sici?sici=0002-8282%28198506%2975%3A3%3C293%3AWWTTCO%3E2.0.CO%3B2-V&origin=repec
    File Function: full text
    Download Restriction: Access to full text is restricted to JSTOR subscribers. See http://www.jstor.org for details.
    ---><---

    As the access to this document is restricted, you may want to look for a different version below or search for a different version of it.

    Other versions of this item:

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:aea:aecrev:v:75:y:1985:i:3:p:293-307. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Michael P. Albert (email available below). General contact details of provider: https://edirc.repec.org/data/aeaaaea.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.