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Full-Text Articles in Social and Behavioral Sciences

On Testing For Sphericity With Non-Normality In A Fixed Effects Panel Data Model, Badi H. Baltagi, Chihwa Kao, Bin Peng Dec 2014

On Testing For Sphericity With Non-Normality In A Fixed Effects Panel Data Model, Badi H. Baltagi, Chihwa Kao, Bin Peng

Center for Policy Research

Building upon the work of Chen et al. (2010), this paper proposes a test for sphericity of the variance-covariance matrix in a fixed effects panel data regression model without the normality assumption on the disturbances.


Treatment Effects With Unobserved Heterogeneity: A Set Identification Approach, Sung Jae Jun, Yoonseok Lee, Youngki Shin Jul 2014

Treatment Effects With Unobserved Heterogeneity: A Set Identification Approach, Sung Jae Jun, Yoonseok Lee, Youngki Shin

Center for Policy Research

We propose the sharp identifiable bounds of the distribution functions of potential outcomes using a panel with fixed T. We allow for the possibility that the statistical randomization of treatment assignments is not achieved until unobserved heterogeneity is properly controlled for. We use certain stationarity assumptions to obtain the bounds. Dynamics in the treatment decisions is allowed as long as the stationarity assumptions are satisfied. In particular, we present an example where our assumptions are satisfied and the treatment decision of the present time may depend on the treatments and the observed outcomes of the past. As an empirical illustration …


Identification And Estimation Of Outcome Response With Heterogeneous Treatment Externalities, Tiziano Arduini, Eleonora Patacchini, Edoardo Rainone Apr 2014

Identification And Estimation Of Outcome Response With Heterogeneous Treatment Externalities, Tiziano Arduini, Eleonora Patacchini, Edoardo Rainone

Center for Policy Research

This paper studies the identification and estimation of treatment response with heterogeneous spillovers in a network model. We generalize the standard linear-in-means model to allow for multiple groups with between and within-group interactions. We provide a set of identification conditions of peer effects and consider a 2SLS estimation approach. Large sample properties of the proposed estimators are derived. Simulation experiments show that the estimators perform well in finite samples. The model is used to study the effectiveness of policies where peer effects are seen as a mechanism through which the treatments could propagate through the network. When interactions among groups …


The Interaction Of Metropolitan Area Costs And The Federal Earned Income Tax Credit: One Size Fits All?, Katie Fitzpatrick, Jeffrey P. Thompson Jan 2008

The Interaction Of Metropolitan Area Costs And The Federal Earned Income Tax Credit: One Size Fits All?, Katie Fitzpatrick, Jeffrey P. Thompson

Center for Policy Research

The Federal Earned Income Tax Credoit (EITC) contributed to increasing employment rates for single women during the 1990s. This paper expands on what is known about the labor supply response to the EITC by exploiting differences in the cost-of-living faced by potentially eligible recipients in different geographic areas. Using the 1993 EITC expansion, we demonstrate that the labor supply response varies considerably with metropolitan area cost-of-living. We identify an increase in labor force participation among single mothers of as much as 10 percentage points in the lowest cost metropolitan areas. There is no discernable participation response in metropolitan areas with …


Public School Choice And Integration: Evidence From Durham, North Carolina, Robert Bifulco, Helen F. Ladd, Stephen Ross Jan 2008

Public School Choice And Integration: Evidence From Durham, North Carolina, Robert Bifulco, Helen F. Ladd, Stephen Ross

Center for Policy Research

Using evidence from Durham, North Carolina, we examine the impact of school choice programs on racial and class-based segregation across schools. Theoretical considerations suggest that how choice programs affect segregation will depend not only on the family preferences emphasized in the sociology literature but also on the linkages between student composition, school quality and student achievement emphasized in the economics literature. Reasonable assumptions about the distribution of preferences over race, class, and school characteristics suggest that the segregating choices of students from advantaged backgrounds are likely to outweigh any integrating choices by disadvantaged students. The results of our empirical analysis …