CIRJE-F-835 | "Sharp Bounds in the Binary Roy Model" |
Author Name | Henry, Marc and Ismael Mourifié |
Date | January 2012 |
Full Paper | PDF file |
Remarks | Submitted for publication. |
Abstract |
We derive the empirical content of an instrumental variables model of sectorial choice with binary outcomes. Assumptions on selection include the sim- ple, extended and generalized Roy models. The derived bounds are nonparametric intersection bounds and are simple enough to lend themselves to existing inference methods. Identi¯cation implications of exclusion restrictions are also derived. |