Add to ORKGIt is well known that the omission of variables from a model with constant parameters can induce the appearance of structural instability if the correlation between the included and omitted variables should change. What is less appreciated is that the converse is also true. The omission of variables from a model with changing parameters can induce the appearance of structural stability. This note provides an example and discusses the circumstances under which the phenomenon is likely
This paper examines the exact sampling behavior of a family of instrumental variables estimators of ...
We aim to raise awareness of the omitted variable bias (i.e., one special form of endogeneity) and h...
Lurking variables are omitted variables that should be included in the regression model. If the lurk...
The problem of specification bias arising out of the omission of relevant variables in econometric r...
Exogenous random structural disturbances are the main driving force behind fluctuations in most busi...
When a pair of independent series are highly persistent, there is a spurious regression bias in a re...
Suppressor variables are well known in the context of multiple regression analysis. Using several ex...
This paper investigates the sources of the substantial decrease in output growth volatility in the m...
It is shown that the usual interpretation of "suppressor" effects in a multiple regression equation...
Identification schemes are of essential importance in structural analysis. This paper focuseson test...
In this paper we study the selection of the number of primitive shocks in exact and approximate fact...
When a pair of independent series is highly persistent, there is a spurious regression bias in a reg...
An ongoing theme in David Hendry’s work has been concern about detecting and avoiding forecast break...
We consider censored structural latent variables models where some exogenous variables are subject ...
We consider censored structural latent variables models where some exogenous variables are subject t...
This paper examines the exact sampling behavior of a family of instrumental variables estimators of ...
We aim to raise awareness of the omitted variable bias (i.e., one special form of endogeneity) and h...
Lurking variables are omitted variables that should be included in the regression model. If the lurk...
The problem of specification bias arising out of the omission of relevant variables in econometric r...
Exogenous random structural disturbances are the main driving force behind fluctuations in most busi...
When a pair of independent series are highly persistent, there is a spurious regression bias in a re...
Suppressor variables are well known in the context of multiple regression analysis. Using several ex...
This paper investigates the sources of the substantial decrease in output growth volatility in the m...
It is shown that the usual interpretation of "suppressor" effects in a multiple regression equation...
Identification schemes are of essential importance in structural analysis. This paper focuseson test...
In this paper we study the selection of the number of primitive shocks in exact and approximate fact...
When a pair of independent series is highly persistent, there is a spurious regression bias in a reg...
An ongoing theme in David Hendry’s work has been concern about detecting and avoiding forecast break...
We consider censored structural latent variables models where some exogenous variables are subject ...
We consider censored structural latent variables models where some exogenous variables are subject t...
This paper examines the exact sampling behavior of a family of instrumental variables estimators of ...
We aim to raise awareness of the omitted variable bias (i.e., one special form of endogeneity) and h...
Lurking variables are omitted variables that should be included in the regression model. If the lurk...