Empirical Strategies in Labor Economics

Posted: 11 Sep 1998

See all articles by Joshua D. Angrist

Joshua D. Angrist

Massachusetts Institute of Technology (MIT) - Department of Economics; National Bureau of Economic Research (NBER); IZA Institute of Labor Economics

Alan B. Krueger

Princeton University - Industrial Relations Section; National Bureau of Economic Research (NBER); IZA Institute of Labor Economics

Date Written: June 1998

Abstract

This chapter provides an overview of the methodological and practical issues that arise when estimating causal relationships that are of interest to labor economists. The subject matter includes identification, data collection, and measurement problems. Four identification strategies are discussed, and five empirical examples--the effects of schooling, unions, immigration, military service and class size--illustrate the methodological points. In discussing each example, we adopt an experimentalist perspective that draws a clear distinction between variables that have causal effects, control variables, and outcome variables. The chapter also discusses secondary data sets, primary data collection strategies, and administrative data. The section on measurement issues focuses on recent empirical examples, presents a summary of empirical findings on the reliability of key labor market data, and reviews the role of survey sampling weights and the allocation of missing values in empirical research.

JEL Classification: J00, J31, C10, C81

Suggested Citation

Angrist, Joshua and Krueger, Alan B., Empirical Strategies in Labor Economics (June 1998). MIT Department of Economics Working Paper No. 98-07. Available at SSRN: https://ssrn.com/abstract=125888

Joshua Angrist (Contact Author)

Massachusetts Institute of Technology (MIT) - Department of Economics ( email )

50 Memorial Drive
E52-353
Cambridge, MA 02142
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617-253-8909 (Phone)
617-253-1330 (Fax)

National Bureau of Economic Research (NBER)

1050 Massachusetts Avenue
Cambridge, MA 02138
United States

IZA Institute of Labor Economics

P.O. Box 7240
Bonn, D-53072
Germany

Alan B. Krueger

Princeton University - Industrial Relations Section ( email )

Princeton, NJ 08544-2098
United States
609-258-4046 (Phone)
609-258-2907 (Fax)

National Bureau of Economic Research (NBER)

1050 Massachusetts Avenue
Cambridge, MA 02138
United States

IZA Institute of Labor Economics

P.O. Box 7240
Bonn, D-53072
Germany

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