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Tightening Bounds In Triangular Systems

Listed author(s):
  • Desire Kedagni
  • Ismael Mourifie
Registered author(s):

    This note discusses partial identi cation in a nonparametric triangular system with discrete endogenous regressors and nonseparable errors. Recently, [Jun, Pinkse and Xu (2011, JPX). Tighter Bounds in Triangular Systems. Journal of Econometrics 161(2), 122-128] provides bounds on the structural function evaluated at particular values using exclusion, exogeneity and rank conditions. We propose a simple idea that often allows to improve the JPX bounds without invoking a new set of assumptions. Moreover, we show how our idea can be used to tighten existing bounds on the structural function in more general triangular systems.

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    File URL: https://www.economics.utoronto.ca/public/workingPapers/tecipa-515.pdf
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    Paper provided by University of Toronto, Department of Economics in its series Working Papers with number tecipa-515.

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    Length: Unknown pages
    Date of creation: 07 Jul 2014
    Handle: RePEc:tor:tecipa:tecipa-515
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