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Comments on “Unobservable Selection and Coefficient Stability-Theory and Evidence” and “Poorly Measured Confounders are More Useful on the Left Than on the Right”

Author

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  • Giuseppe De Luca

    (University of Palermo)

  • Jan R. Magnus

    (Vrije Universiteit Amsterdam)

  • Franco Peracchi

    (Georgetown University and EIEF)

Abstract

The papers by Oster (2017) and Pei, Pischke and Schwandt (2017) contribute to the development of inferential procedures for causal effects in the challenging and empirically relevant situation where the unknown data-generation process is not included in the set of models considered by the investigator. In this note, we establish a linkage between these two studies. Further, we use the general misspecification framework proposed by De Luca, Magnus and Peracchi (2018) to analyze the restrictions imposed by the two approaches.

Suggested Citation

  • Giuseppe De Luca & Jan R. Magnus & Franco Peracchi, 2018. "Comments on “Unobservable Selection and Coefficient Stability-Theory and Evidence” and “Poorly Measured Confounders are More Useful on the Left Than on the Right”," EIEF Working Papers Series 1802, Einaudi Institute for Economics and Finance (EIEF), revised Feb 2018.
  • Handle: RePEc:eie:wpaper:1802
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    References listed on IDEAS

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    1. Joseph G. Altonji & Todd E. Elder & Christopher R. Taber, 2005. "Selection on Observed and Unobserved Variables: Assessing the Effectiveness of Catholic Schools," Journal of Political Economy, University of Chicago Press, vol. 113(1), pages 151-184, February.
    2. Frost, Peter A, 1979. "Proxy Variables and Specification Bias," The Review of Economics and Statistics, MIT Press, vol. 61(2), pages 323-325, May.
    3. Zhuan Pei & Jörn-Steffen Pischke & Hannes Schwandt, 2019. "Poorly Measured Confounders are More Useful on the Left than on the Right," Journal of Business & Economic Statistics, Taylor & Francis Journals, vol. 37(2), pages 205-216, April.
    4. Xinyu Zhang & Dalei Yu & Guohua Zou & Hua Liang, 2016. "Optimal Model Averaging Estimation for Generalized Linear Models and Generalized Linear Mixed-Effects Models," Journal of the American Statistical Association, Taylor & Francis Journals, vol. 111(516), pages 1775-1790, October.
    5. Holly, Alberto, 1982. "A Remark on Hausman's Specification Test," Econometrica, Econometric Society, vol. 50(3), pages 749-759, May.
    6. Garber, Steven & Klepper, Steven, 1980. "Extending the Classical Normal Errors-in-Variables Model," Econometrica, Econometric Society, vol. 48(6), pages 1541-1546, September.
    7. Giuseppe De Luca & Jan R. Magnus & Franco Peracchi, 2018. "Balanced Variable Addition In Linear Models," Journal of Economic Surveys, Wiley Blackwell, vol. 32(4), pages 1183-1200, September.
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    Cited by:

    1. Alberto Posso & Nicholas Bodanac & Facundo Palermo, 2023. "The impact of economic hardships on the intent to migrate: Micro‐level evidence from Venezuela," The World Economy, Wiley Blackwell, vol. 46(3), pages 653-680, March.

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