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Endogeneity and missing data are common issues in empirical research. We investigate how both jointly affect inference on causal parameters. Conventional methods to estimate the variance, which treat the imputed data as if it was observed…

Econometrics · Economics 2019-03-27 Helmut Farbmacher , Alexander Kann

We propose a weak-instrument-robust subvector Lagrange multiplier test for instrumental variables regression. We show that it is asymptotically size-correct under a technical condition or as the number of instruments grows to infinity. This…

Statistics Theory · Mathematics 2026-03-03 Malte Londschien , Peter Bühlmann

High-dimensional linear models with endogenous variables play an increasingly important role in recent econometric literature. In this work we allow for models with many endogenous variables and many instrument variables to achieve…

Econometrics · Economics 2019-08-30 Alexandre Belloni , Christian Hansen , Whitney Newey

Instrumental variables regression is a tool that is commonly used in the analysis of observational data. The instrumental variables are used to make causal inference about the effect of a certain exposure in the presence of unmeasured…

Methodology · Statistics 2023-09-07 Valentin Vancak , Arvid Sjölander

Instrumental variables have been widely used for estimating the causal effect between exposure and outcome. Conventional estimation methods require complete knowledge about all the instruments' validity; a valid instrument must not have a…

Methodology · Statistics 2014-09-23 Hyunseung Kang , Anru Zhang , T. Tony Cai , Dylan S. Small

Unmeasured confounding is a key threat to reliable causal inference based on observational studies. Motivated from two powerful natural experiment devices, the instrumental variables and difference-in-differences, we propose a new method…

Methodology · Statistics 2021-11-09 Ting Ye , Ashkan Ertefaie , James Flory , Sean Hennessy , Dylan S. Small

It is common when using cross-section or panel data to assign each observation to a cluster and allow for arbitrary patterns of heteroskedasticity and correlation within clusters. For regression models, there are many ways to make…

Econometrics · Economics 2026-04-03 James G. MacKinnon

We study the wild bootstrap inference for instrumental variable regressions in the framework of a small number of large clusters in which the number of clusters is viewed as fixed and the number of observations for each cluster diverges to…

Econometrics · Economics 2024-01-19 Wenjie Wang , Yichong Zhang

Methods utilizing instrumental variables have been a fundamental statistical approach to estimation in the presence of unmeasured confounding, usually occurring in non-randomized observational data common to fields such as economics and…

Methodology · Statistics 2022-10-06 Charles Spanbauer , Wei Pan

A major challenge in instrumental variables (IV) analysis is to find instruments that are valid, or have no direct effect on the outcome and are ignorable. Typically one is unsure whether all of the putative IVs are in fact valid. We…

Statistics Theory · Mathematics 2017-08-10 Zijian Guo , Hyunseung Kang , T. Tony Cai , Dylan S. Small

Montiel Olea and Pflueger (2013) proposed the effective F-statistic as a test for weak instruments in terms of the Nagar bias of the two-stage least squares (2SLS) estimator relative to a benchmark worst-case bias. We show that their…

Econometrics · Economics 2025-01-22 Frank Windmeijer

This article considers inference in linear instrumental variables models with many regressors, all of which could be endogenous. We propose the STIV estimator. Identification robust confidence sets are derived by solving linear programs. We…

Statistics Theory · Mathematics 2021-08-09 Eric Gautier , Christiern Rose

We discuss causal inference for observational studies with possibly invalid instrumental variables. We propose a novel methodology called two-stage curvature identification (TSCI) by exploring the nonlinear treatment model with machine…

Methodology · Statistics 2024-01-08 Zijian Guo , Mengchu Zheng , Peter Bühlmann

Panel data methods are widely used in empirical analysis to address unobserved heterogeneity, but causal inference remains challenging when treatments are endogenous and confounding variables high-dimensional and potentially nonlinear.…

Econometrics · Economics 2026-03-24 Anna Baiardi , Paul S. Clarke , Andrea A. Naghi , Annalivia Polselli

This paper considers two-sided tests for the parameter of an endogenous variable in an instrumental variable (IV) model with heteroskedastic and autocorrelated errors. We develop the finite-sample theory of weighted-average power (WAP)…

Statistics Theory · Mathematics 2015-05-26 Humberto Moreira , Marcelo J. Moreira

Hybrid clinical trials, that borrow real-world data (RWD), are gaining interest, especially for rare diseases. They assume RWD and randomized control arm be exchangeable, but violations can bias results, inflate type I error, or reduce…

We propose a new model specification test for multiple-equation systems with cross-equation error and dynamic regressor--error dependences. Conventional tests often rely on exogeneity conditions strong enough to ensure consistency of the…

Econometrics · Economics 2026-04-22 Koichiro Moriya , Akihiko Noda

Generalized Linear Models are routinely used in data analysis. The classical procedures for estimation are based on Maximum Likelihood and it is well known that the presence of outliers can have a large impact on this estimator. Robust…

Computation · Statistics 2017-10-02 Marina Valdora , Claudio Agostinelli , Victor J. Yohai

We study the gradient wild bootstrap-based inference for instrumental variable quantile regressions in the framework of a small number of large clusters in which the number of clusters is viewed as fixed, and the number of observations for…

Econometrics · Economics 2024-08-21 Wenjie Wang , Yichong Zhang

We offer straightforward theoretical results that justify incorporating machine learning in the standard linear instrumental variable setting. The key idea is to use machine learning, combined with sample-splitting, to predict the treatment…

Econometrics · Economics 2021-06-22 Jiafeng Chen , Daniel L. Chen , Greg Lewis