Download This PaperA Comparison of Bias Approximations for The 2SLS Estimator
Tinbergen Institute Discussion Paper 11-088/4
18 Pages Posted: 16 Jun 2011
Date Written: June 10, 2011
Abstract
We consider the bias of the 2SLS estimator in the linear instrumental variables regression with one endogenous regressor only. By using asymptotic expansion techniques we approximate 2SLS coefficient estimation bias under various scenarios regarding the number and strength of instruments.
Keywords: bias, instrumental variables, weak instruments
JEL Classification: C3
Suggested Citation: Suggested Citation
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