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Semiparametric and Nonparametric Methods in Econometrics

Semiparametric and Nonparametric Methods in Econometrics

Hardcover

Series: Springer Statistics

Business GeneralEconomics

ISBN10: 0387928693
ISBN13: 9780387928692
Publisher: Springer
Published: Aug 7 2009
Pages: 276
Weight: 1.27
Height: 0.69 Width: 6.14 Depth: 9.21
Language: English

Standard methods for estimating empirical models in economics and many other fields rely on strong assumptions about functional forms and the distributions of unobserved random variables. Often, it is assumed that functions of interest are linear or that unobserved random variables are normally distributed. Such assumptions simplify estimation and statistical inference but are rarely justified by economic theory or other a priori considerations. Inference based on convenient but incorrect assumptions about functional forms and distributions can be highly misleading. Nonparametric and semiparametric statistical methods provide a way to reduce the strength of the assumptions required for estimation and inference, thereby reducing the opportunities for obtaining misleading results. These methods are applicable to a wide variety of estimation problems in empirical economics and other fields, and they are being used in applied research with increasing frequency.

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Horowitz, Joel L.

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Business General