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- Title
Identification of Nonseparable Triangular Models With Discrete Instruments.
- Authors
D'Haultfœuille, Xavier; Février, Philippe
- Abstract
We study the identification through instruments of a nonseparable function that relates a continuous outcome to a continuous endogenous variable. Using group and dynamical systems theories, we show that full identification can be achieved under strong exogeneity of the instrument and a dual monotonicity condition, even if the instrument is discrete. When identified, the model is also testable. Our results therefore highlight the identifying power of strong exogeneity when combined with monotonicity restrictions.
- Subjects
IDENTIFICATION; MONOTONIC functions; EXOGENEITY (Econometrics); ECONOMICS; PRODUCT coding
- Publication
Econometrica, 2015, Vol 83, Issue 3, p1199
- ISSN
0012-9682
- Publication type
Article
- DOI
10.3982/ECTA10038