Testing for sample selection bias in pseudo panels : theory and Monte Carlo

Sample selection bias is commonly used in economic models based on micro data. Despite the continuous generalization of panel data surveys, most countries still collect microeconomic information on the behavior of economic agents by means of repeated independent and representative cross-sections. Th...

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Autores:
Mora Rodríguez, Jhon James
Tipo de recurso:
Fecha de publicación:
2007
Institución:
Universidad ICESI
Repositorio:
Repositorio ICESI
Idioma:
spa
OAI Identifier:
oai:repository.icesi.edu.co:10906/82342
Acceso en línea:
http://www.webmeets.com/lacea-lames/2008/prog/viewpaper.asp?pid=89
http://hdl.handle.net/10906/82342
Palabra clave:
Análisis discreto
Método de Monte Carlo
Economía
Economics
Prueba de selectividad diagonal
Modelos repetitivos de sección transversal
Econometría
Econometrics models
Rights
openAccess
License
https://creativecommons.org/licenses/by-nc-nd/4.0/
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oai_identifier_str oai:repository.icesi.edu.co:10906/82342
network_acronym_str ICESI2
network_name_str Repositorio ICESI
repository_id_str
dc.title.spa.fl_str_mv Testing for sample selection bias in pseudo panels : theory and Monte Carlo
title Testing for sample selection bias in pseudo panels : theory and Monte Carlo
spellingShingle Testing for sample selection bias in pseudo panels : theory and Monte Carlo
Análisis discreto
Método de Monte Carlo
Economía
Economics
Prueba de selectividad diagonal
Modelos repetitivos de sección transversal
Econometría
Econometrics models
title_short Testing for sample selection bias in pseudo panels : theory and Monte Carlo
title_full Testing for sample selection bias in pseudo panels : theory and Monte Carlo
title_fullStr Testing for sample selection bias in pseudo panels : theory and Monte Carlo
title_full_unstemmed Testing for sample selection bias in pseudo panels : theory and Monte Carlo
title_sort Testing for sample selection bias in pseudo panels : theory and Monte Carlo
dc.creator.fl_str_mv Mora Rodríguez, Jhon James
dc.contributor.author.spa.fl_str_mv Mora Rodríguez, Jhon James
dc.subject.spa.fl_str_mv Análisis discreto
Método de Monte Carlo
Economía
Economics
Prueba de selectividad diagonal
Modelos repetitivos de sección transversal
topic Análisis discreto
Método de Monte Carlo
Economía
Economics
Prueba de selectividad diagonal
Modelos repetitivos de sección transversal
Econometría
Econometrics models
dc.subject.none.fl_str_mv Econometría
Econometrics models
description Sample selection bias is commonly used in economic models based on micro data. Despite the continuous generalization of panel data surveys, most countries still collect microeconomic information on the behavior of economic agents by means of repeated independent and representative cross-sections. This paper discusses a simple testing procedure for sample selection bias in pseudo panels. In the context of conditional mean independence panel data models we describe a pseudo panel model in which under convenient expansion of the original specification with a selectivity bias correction term the method allows us to use a Wald test of H0: as a test of the null hypothesis of absence of sample selection bias. We show that the proposed selection bias correction term is proportional to Inverse Mills ratio with an argument equal to the normit of a consistent estimation of the observed proportion of individuals in each cohort. This finding can be considered a cohort counterpart of Heckmans selectivity bias correction for the individual case and generalizes to some extent previous existing results in the empirical labour literature. Monte Carlo analysis shows the test does not reject the null for fixed T at a 5% significance level in finite samples and increases its power when utilizing cohort size corrections as suggested by Deaton (1985). As a side effect, our method enables us to make a consistent estimation of the pseudo panel parameters under rejection of the null
publishDate 2007
dc.date.issued.none.fl_str_mv 2007-03-10
dc.date.accessioned.none.fl_str_mv 2017-11-29T20:58:37Z
dc.date.available.none.fl_str_mv 2017-11-29T20:58:37Z
dc.type.spa.fl_str_mv info:eu-repo/semantics/workingPaper
dc.type.coar.fl_str_mv http://purl.org/coar/resource_type/c_8042
dc.type.local.spa.fl_str_mv Documento de trabajo
dc.type.version.spa.fl_str_mv info:eu-repo/semantics/publishedVersion
dc.type.coarversion.none.fl_str_mv http://purl.org/coar/version/c_970fb48d4fbd8a85
status_str publishedVersion
dc.identifier.issn.none.fl_str_mv 1900-1568
dc.identifier.other.none.fl_str_mv http://www.webmeets.com/lacea-lames/2008/prog/viewpaper.asp?pid=89
dc.identifier.uri.none.fl_str_mv http://hdl.handle.net/10906/82342
dc.identifier.instname.none.fl_str_mv instname: Universidad Icesi
dc.identifier.reponame.none.fl_str_mv reponame: Biblioteca Digital
dc.identifier.repourl.none.fl_str_mv repourl: https://repository.icesi.edu.co/
identifier_str_mv 1900-1568
instname: Universidad Icesi
reponame: Biblioteca Digital
repourl: https://repository.icesi.edu.co/
url http://www.webmeets.com/lacea-lames/2008/prog/viewpaper.asp?pid=89
http://hdl.handle.net/10906/82342
dc.language.iso.spa.fl_str_mv spa
language spa
dc.relation.ispartof.none.fl_str_mv LAMES Annual Meeting - 2008
dc.relation.ispartof.spa.fl_str_mv Borradores de Economía y Finanzas, Marzo 2007
dc.rights.uri.none.fl_str_mv https://creativecommons.org/licenses/by-nc-nd/4.0/
dc.rights.accessrights.spa.fl_str_mv info:eu-repo/semantics/openAccess
dc.rights.license.none.fl_str_mv Atribuci�n-NoComercial-SinDerivadas 4.0 Internacional (CC BY-NC-ND 4.0)
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rights_invalid_str_mv https://creativecommons.org/licenses/by-nc-nd/4.0/
Atribuci�n-NoComercial-SinDerivadas 4.0 Internacional (CC BY-NC-ND 4.0)
http://purl.org/coar/access_right/c_abf2
eu_rights_str_mv openAccess
dc.format.extent.spa.fl_str_mv 26 páginas
dc.format.medium.spa.fl_str_mv Digital
dc.coverage.spatial.spa.fl_str_mv Rio de Janeiro de Lat: 22 53 00 S degrees minutes Lat: -22.8833 decimal degrees Long: 043 17 00 W degrees minutes Long: -43.2833 decimal degrees
dc.publisher.spa.fl_str_mv Universidad Icesi
dc.publisher.faculty.spa.fl_str_mv Facultad de Ciencias Administrativas y Económicas
dc.publisher.program.spa.fl_str_mv Economía
dc.publisher.department.spa.fl_str_mv Departamento De Economía
dc.publisher.place.spa.fl_str_mv Rio de Jainero
institution Universidad ICESI
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spelling Mora Rodríguez, Jhon JamesRio de Janeiro de Lat: 22 53 00 S degrees minutes Lat: -22.8833 decimal degrees Long: 043 17 00 W degrees minutes Long: -43.2833 decimal degrees2017-11-29T20:58:37Z2017-11-29T20:58:37Z2007-03-101900-1568http://www.webmeets.com/lacea-lames/2008/prog/viewpaper.asp?pid=89http://hdl.handle.net/10906/82342instname: Universidad Icesireponame: Biblioteca Digitalrepourl: https://repository.icesi.edu.co/Sample selection bias is commonly used in economic models based on micro data. Despite the continuous generalization of panel data surveys, most countries still collect microeconomic information on the behavior of economic agents by means of repeated independent and representative cross-sections. This paper discusses a simple testing procedure for sample selection bias in pseudo panels. In the context of conditional mean independence panel data models we describe a pseudo panel model in which under convenient expansion of the original specification with a selectivity bias correction term the method allows us to use a Wald test of H0: as a test of the null hypothesis of absence of sample selection bias. We show that the proposed selection bias correction term is proportional to Inverse Mills ratio with an argument equal to the normit of a consistent estimation of the observed proportion of individuals in each cohort. This finding can be considered a cohort counterpart of Heckmans selectivity bias correction for the individual case and generalizes to some extent previous existing results in the empirical labour literature. Monte Carlo analysis shows the test does not reject the null for fixed T at a 5% significance level in finite samples and increases its power when utilizing cohort size corrections as suggested by Deaton (1985). As a side effect, our method enables us to make a consistent estimation of the pseudo panel parameters under rejection of the nullLatin American Meeting of the Econometric Society26 páginasDigitalspaUniversidad IcesiFacultad de Ciencias Administrativas y EconómicasEconomíaDepartamento De EconomíaRio de JaineroLAMES Annual Meeting - 2008Borradores de Economía y Finanzas, Marzo 2007EL AUTOR, expresa que la obra objeto de la presente autorización es original y la elaboró sin quebrantar ni suplantar los derechos de autor de terceros, y de tal forma, la obra es de su exclusiva autoría y tiene la titularidad sobre éste. PARÁGRAFO: en caso de queja o acción por parte de un tercero referente a los derechos de autor sobre el artículo, folleto o libro en cuestión, EL AUTOR, asumirá la responsabilidad total, y saldrá en defensa de los derechos aquí autorizados; para todos los efectos, la Universidad Icesi actúa como un tercero de buena fe. Esta autorización, permite a la Universidad Icesi, de forma indefinida, para que en los términos establecidos en la Ley 23 de 1982, la Ley 44 de 1993, leyes y jurisprudencia vigente al respecto, haga publicación de este con fines educativos Todo persona que consulte ya sea la biblioteca o en medio electrónico podrá copiar apartes del texto citando siempre la fuentes, es decir el título del trabajo y el autor.https://creativecommons.org/licenses/by-nc-nd/4.0/info:eu-repo/semantics/openAccessAtribuci�n-NoComercial-SinDerivadas 4.0 Internacional (CC BY-NC-ND 4.0)http://purl.org/coar/access_right/c_abf2Análisis discretoMétodo de Monte CarloEconomíaEconomicsPrueba de selectividad diagonalModelos repetitivos de sección transversalEconometríaEconometrics modelsTesting for sample selection bias in pseudo panels : theory and Monte Carloinfo:eu-repo/semantics/workingPaperhttp://purl.org/coar/resource_type/c_8042Documento de trabajoinfo:eu-repo/semantics/publishedVersionhttp://purl.org/coar/version/c_970fb48d4fbd8a85Comunidad Universidad Icesi - InvestigadoresORIGINALmora_monte_carlo_2007.pdfmora_monte_carlo_2007.pdfapplication/pdf829195http://repository.icesi.edu.co/biblioteca_digital/bitstream/10906/82342/4/mora_monte_carlo_2007.pdfebe603e811823018b5ca10dfd1e7eab8MD54TEXTdocumento.html.txtdocumento.html.txttext/plain73http://repository.icesi.edu.co/biblioteca_digital/bitstream/10906/82342/3/documento.html.txt2f71a38736e7280ed14807d9783d1d22MD53LICENSElicense.txtlicense.txttext/plain1748http://repository.icesi.edu.co/biblioteca_digital/bitstream/10906/82342/2/license.txt8a4605be74aa9ea9d79846c1fba20a33MD5210906/82342oai:repository.icesi.edu.co:10906/823422021-10-27 17:50:58.009Biblioteca Digital - Universidad icesicdcriollo@icesi.edu.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