English

Instrument-based estimation of full treatment effects with movers

Econometrics 2023-06-13 v1

Abstract

The effect of the full treatment is a primary parameter of interest in policy evaluation, while often only the effect of a subset of treatment is estimated. We partially identify the local average treatment effect of receiving full treatment (LAFTE) using an instrumental variable that may induce individuals into only a subset of treatment (movers). We show that movers violate the standard exclusion restriction, necessary conditions on the presence of movers are testable, and partial identification holds under a double exclusion restriction. We identify movers in four empirical applications and estimate informative bounds on the LAFTE in three of them.

Keywords

Cite

@article{arxiv.2306.07018,
  title  = {Instrument-based estimation of full treatment effects with movers},
  author = {Didier Nibbering and Matthijs Oosterveen},
  journal= {arXiv preprint arXiv:2306.07018},
  year   = {2023}
}