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Sharp Bounds On Treatment Effects In A Binary Triangular System


  • Ismael MOURIFIÉ


This paper considers the evaluation of the average treatment e ffect (ATE) in a triangular system with binary dependent variables. I impose a threshold crossing model on both endogenous regressor and the outcome. No parametric functional form or distributional assumptions are imposed. Shaikh and Vytlacil (2011, SV) proposed bounds on ATE which are sharp only under a restrictive condition on the support of the covariates and the instruments, which rules out a wide range of models and many relevant applications. In some cases, when SV's support condition fails, their bounds retrieve the same empirical content as the model with unrestricted endogenous regressor. In this setting, I provide a methodology which allows to construct sharp bounds on the ATE by efficiently using variation on covariates without imposing support restrictions.

Suggested Citation

  • Ismael MOURIFIÉ, 2013. "Sharp Bounds On Treatment Effects In A Binary Triangular System," Working Papers tecipa-498, University of Toronto, Department of Economics.
  • Handle: RePEc:tor:tecipa:tecipa-498

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    References listed on IDEAS

    1. Beffy, Magali & Fougère, Denis & Maurel, Arnaud, 2010. "The Effect of Part-Time Work on Post-Secondary Educational Attainment: New Evidence from French Data," IZA Discussion Papers 5069, Institute for the Study of Labor (IZA).
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    6. Richard Blundell & Amanda Gosling & Hidehiko Ichimura & Costas Meghir, 2007. "Changes in the Distribution of Male and Female Wages Accounting for Employment Composition Using Bounds," Econometrica, Econometric Society, vol. 75(2), pages 323-363, March.
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    More about this item


    partial identification; threshold crossing model; triangular system; average treatment effect; endogeneity; program social evaluation.;

    JEL classification:

    • C14 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods and Methodology: General - - - Semiparametric and Nonparametric Methods: General
    • C31 - Mathematical and Quantitative Methods - - Multiple or Simultaneous Equation Models; Multiple Variables - - - Cross-Sectional Models; Spatial Models; Treatment Effect Models; Quantile Regressions; Social Interaction Models
    • C35 - Mathematical and Quantitative Methods - - Multiple or Simultaneous Equation Models; Multiple Variables - - - Discrete Regression and Qualitative Choice Models; Discrete Regressors; Proportions

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