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It is well-known that, without restricting treatment effect heterogeneity, instrumental variable (IV) methods only identify "local" effects among compliers, i.e., those subjects who take treatment only when encouraged by the IV. Local…

Methodology · Statistics 2019-06-03 Edward H. Kennedy , Sivaraman Balakrishnan , Max G'Sell

The hypothesis of homogeneous treatment effects is central to the instrumental variables literature. This assumption signifies that treatment effects are constant across all subjects. It allows to interpret instrumental variable estimates…

Econometrics · Economics 2023-04-17 Jad Beyhum , Jean-Pierre Florens , Elia Lapenta , Ingrid Van Keilegom

Empirical instrumental variables (IV) studies often report separate results based on low-dimensional instruments and many base instruments. This paper proposes a combination test that integrates these commonly reported statistics. The test…

Econometrics · Economics 2026-03-25 Liyu Dou , Pengjin Min , Wenjie Wang , Yichong Zhang

To estimate causal effects, analysts performing observational studies in health settings utilize several strategies to mitigate bias due to confounding by indication. There are two broad classes of approaches for these purposes: use of…

Methodology · Statistics 2023-05-01 Roy S. Zawadzki , Joshua D. Grill , Daniel L. Gillen

The relevance condition of Integrated Conditional Moment (ICM) estimators is significantly weaker than the conventional IV's in at least two respects: (1) consistent estimation without excluded instruments is possible, provided endogenous…

Econometrics · Economics 2022-11-14 Emmanuel Selorm Tsyawo

Inference of instrumental variable regression models with many weak instruments attracts many attentions recently. To extend the classical Anderson-Rubin test to high-dimensional setting, many procedures adopt ridge-regularization. However,…

Methodology · Statistics 2025-04-30 Jiarong Ding , Xu Guo , Yanmei Shi , Yuxin Wang

We study identification in nonparametric regression models with a misclassified and endogenous binary regressor when an instrument is correlated with misclassification error. We show that the regression function is nonparametrically…

Econometrics · Economics 2021-08-31 Hiroyuki Kasahara , Katsumi Shimotsu

We study categorical instrumental variable (IV) models with instrument, treatment, and outcome taking finitely many values. We derive a simple closed-form characterization of the set of joint distributions of potential outcomes that are…

Statistics Theory · Mathematics 2025-11-13 Yilin Song , F. Richard Guo , K. C. Gary Chan , Thomas S. Richardson

The estimation of the treatment effect is often biased in the presence of unobserved confounding variables which are commonly referred to as hidden variables. Although a few methods have been recently proposed to handle the effect of hidden…

Methodology · Statistics 2022-08-01 Kevin Jiang , Yang Ning

We provide a convergence analysis of deep feature instrumental variable (DFIV) regression (Xu et al., 2021), a nonparametric approach to IV regression using data-adaptive features learned by deep neural networks in two stages. We prove that…

Machine Learning · Statistics 2025-01-10 Juno Kim , Dimitri Meunier , Arthur Gretton , Taiji Suzuki , Zhu Li

This paper investigates how certain relationship between observed and counterfactual distributions serves as an identifying condition for treatment effects when the treatment is endogenous, and shows that this condition holds in a range of…

Econometrics · Economics 2023-11-28 Sukjin Han , Haiqing Xu

Analyzing signals arising from dynamical systems typically requires many modeling assumptions and parameter estimation. In high dimensions, this modeling is particularly difficult due to the "curse of dimensionality". In this paper, we…

Systems and Control · Computer Science 2016-12-21 Tal Shnitzer , Ronen Talmon , Jean-Jacques Slotine

This study investigates the causal interpretation of linear social interaction models in the presence of endogeneity in network formation under a heterogeneous treatment effects framework. We consider an experimental setting in which…

Econometrics · Economics 2023-10-23 Tadao Hoshino

We explore the capability of transformers to address endogeneity in in-context linear regression. Our main finding is that transformers inherently possess a mechanism to handle endogeneity effectively using instrumental variables (IV).…

Machine Learning · Statistics 2025-05-13 Haodong Liang , Krishnakumar Balasubramanian , Lifeng Lai

Instrumental variables (IVs) are widely used to estimate causal effects from non-randomized data. A canonical example is a randomized trial with noncompliance, in which the randomized treatment assignment serves as an IV for the…

Methodology · Statistics 2026-02-06 Rui Wang , Ying-Qi Zhao , Oliver Dukes , Bo Zhang

This paper considers inference in a linear instrumental variable regression model with many potentially weak instruments, in the presence of heterogeneous treatment effects. I first show that existing test procedures, including those that…

Econometrics · Economics 2025-04-24 Luther Yap

It is often challenging to identify a valid instrumental variable (IV), although the IV methods have been regarded as effective tools of addressing the confounding bias introduced by latent variables. To deal with this issue, an…

Information Retrieval · Computer Science 2025-08-26 Zhirong Huang , Debo Cheng , Jiuyong Li , Lin Liu , Guangquan Lu , Shichao Zhang

Collaborative learning through latent shared feature representations enables heterogeneous clients to train personalized models with improved performance and reduced sample complexity. Despite empirical success and extensive study, the…

Machine Learning · Computer Science 2025-11-25 Xiaochun Niu , Lili Su , Jiaming Xu , Pengkun Yang

Recent years have witnessed an upsurge of interest in employing flexible machine learning models for instrumental variable (IV) regression, but the development of uncertainty quantification methodology is still lacking. In this work we…

Machine Learning · Statistics 2021-11-04 Ziyu Wang , Yuhao Zhou , Tongzheng Ren , Jun Zhu

We show that the popular reinforcement learning (RL) strategy of estimating the state-action value (Q-function) by minimizing the mean squared Bellman error leads to a regression problem with confounding, the inputs and output noise being…

Machine Learning · Computer Science 2022-12-01 Yutian Chen , Liyuan Xu , Caglar Gulcehre , Tom Le Paine , Arthur Gretton , Nando de Freitas , Arnaud Doucet