Overidentification Tests with Grouped Data
This paper examines the validity of overidentification tests and exogeneity tests in the presence of grouped data. We find that even a small intra-group correlation, when instruments do not vary within groups, may generate a substantial bias in the standard overidentification tests described in textbooks.
|Date of creation:||Feb 1998|
|Date of revision:|
|Contact details of provider:|| Postal: National Bureau of Economic Research, 1050 Massachusetts Avenue Cambridge, MA 02138, U.S.A.|
Web page: http://www.nber.org
More information through EDIRC
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.:
- Charles C. Brown & James L. Medoff, 1988. "Employer Size, Pay, and the Ability to Pay in the Public Sector," NBER Chapters, in: When Public Sector Workers Unionize, pages 195-216 National Bureau of Economic Research, Inc.
- Moulton, Brent R., 1986. "Random group effects and the precision of regression estimates," Journal of Econometrics, Elsevier, vol. 32(3), pages 385-397, August.
- David M. Cutler & Edward L. Glaeser, 1997. "Are Ghettos Good or Bad?," The Quarterly Journal of Economics, Oxford University Press, vol. 112(3), pages 827-872.
- K. Newey, Whitney, 1985. "Generalized method of moments specification testing," Journal of Econometrics, Elsevier, vol. 29(3), pages 229-256, September.
- Thomas J. Kane & Douglas Staiger, 1996. "Teen Motherhood and Abortion Access," The Quarterly Journal of Economics, Oxford University Press, vol. 111(2), pages 467-506.
- Gruber, J., 1992.
"The Efficiency of a Group-Specific Mandated Benefit: Evidence from Health Insurance Benefits for Maternity,"
92-19, Massachusetts Institute of Technology (MIT), Department of Economics.
- Jonathan Gruber, 1992. "The Efficiency of a Group-Specific Mandated Benefit: Evidence From Health Insurance Benefits for Maternity," NBER Working Papers 4157, National Bureau of Economic Research, Inc.
- Caroline M. Hoxby, 2000.
"Does Competition among Public Schools Benefit Students and Taxpayers?,"
American Economic Review,
American Economic Association, vol. 90(5), pages 1209-1238, December.
- Caroline Minter Hoxby, 1994. "Does Competition Among Public Schools Benefit Students and Taxpayers?," NBER Working Papers 4979, National Bureau of Economic Research, Inc.
- Katz, L.F. & Krueger, A.B., 1992.
"The Effect of the Minimum Wage on the Fast Food Industry,"
Harvard Institute of Economic Research Working Papers
1584, Harvard - Institute of Economic Research.
- Lawrence F. Katz & Alan B. Krueger, 1992. "The Effect of the Minimum Wage on the Fast-Food Industry," ILR Review, Cornell University, ILR School, vol. 46(1), pages 6-21, October.
- Lawrence F. Katz & Alan B. Krueger, 1992. "The Effect of the Minimum Wage on the Fast Food Industry," NBER Working Papers 3997, National Bureau of Economic Research, Inc.
- repec:pri:indrel:298 is not listed on IDEAS
- Hausman, Jerry A., 1983. "Specification and estimation of simultaneous equation models," Handbook of Econometrics, in: Z. Griliches† & M. D. Intriligator (ed.), Handbook of Econometrics, edition 1, volume 1, chapter 7, pages 391-448 Elsevier.
- Levine, Phillip B. & Trainor, Amy B. & Zimmerman, David J., 1996.
"The effect of Medicaid abortion funding restrictions on abortions, pregnancies and births,"
Journal of Health Economics,
Elsevier, vol. 15(5), pages 555-578, October.
- Phillip B. Levine & Amy B. Trainor & David J. Zimmerman, 1995. "The Effect of Medicaid Abortion Funding Restrictions on Abortions, Pregnancies, and Births," NBER Working Papers 5066, National Bureau of Economic Research, Inc.
- Hansen, Lars Peter, 1982. "Large Sample Properties of Generalized Method of Moments Estimators," Econometrica, Econometric Society, vol. 50(4), pages 1029-54, July.
- repec:fth:prinin:298 is not listed on IDEAS
- Lawrence Katz & Alan Krueger, 1992. "The Effect of the Minimum Wage on the Fast Food Industry," Working Papers 678, Princeton University, Department of Economics, Industrial Relations Section..
- Richard B. Freeman & Casey Ichniowski, 1988. "When Public Sector Workers Unionize," NBER Books, National Bureau of Economic Research, Inc, number free88-1, September.
When requesting a correction, please mention this item's handle: RePEc:nbr:nberte:0223. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: ()
If references are entirely missing, you can add them using this form.