Invites you to an Econometrics seminar presented by

Zhenting Sun

Peking University

Pairwise Valid Instruments

Joint with Kaspar Wüthrich (UC San Diego)

Wednesday 6 April

1.00pm – 2.30pm

Via Zoom: Meeting Link

For further information contact: Econometrics Research Seminar Coordinator Dr Ye Lu (ye.lu1@sydney.edu.au)

Abstract: Finding valid instruments is difficult. We propose Validity Set Instrumental Variable (VSIV) regression, a method for estimating treatment effects when the instruments are partially invalid. VSIV regression exploits testable implications for instrument validity to remove invalid variation in the instruments. We show that the proposed VSIV estimators are asymptotically normal under weak conditions and always remove or reduce the asymptotic bias relative to standard IV estimators.

Link to the paper: https://arxiv.org/abs/2203.08050

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