The bivariate probit model, maximum likelihood estimation, pseudo true parameters and partial identification
双变量Probit模型、极大似然、伪真参数与部分识别
This paper examines the notion of “identification by functional form” for two equation triangular systems for binary endogenous variables by providing a bridge between the literature on the recursive bivariate probit model and that on partial identification. We evaluate the impact of functional form on the performance of (quasi) maximum likelihood estimators, and investigate the practical importance of available instruments in both cases of correct and incorrect…