We study several methods of constructing confidence sets for the coefficient of the single right-hand-side endogenous variable in a linear equation with weak instruments. Two of these are based on conditional likelihood ratio (CLR) tests, and the others are based on inverting t statistics or the bootstrap P values associated with them. We propose a new method for constructing bootstrap confiden...

This article explores the pattern and breadth of collaboration activities of innovating firms active in renewable energy (RE), and the impact of collaboration on firm-level innovation performance. We deploy a unique dataset from a special section of the 2014 CIS survey in Denmark, in which we included questions that enable us to unambiguously identify RE innovators. In a quantitative analysis, ...

What is the weak instruments (WI) problem and what causes it? Universal agreement does not exist on these questions. We define weak instruments by two features: (1) 2SLS is badly biased toward the OLS estimate and alternative “unbiased” estimators such as LIML may not solve the problem and (2) the standard (first order) asymptotic distribution does not give an accurate framework for inference. ...

In this paper, we analyze the properties of nonparametric estimators of a regression function when some covariates are not directly observed, but have only been estimated by some nonparametric procedure. We provide general results that can be used to establish rates of consistency or asymptotic normality in numerous econometric applications, including nonparametric estimation of simultaneous eq...

Theil, Basmann, and Sargan are often credited with the development of the two-stage least squares (TSLS) estimator of the coefficients of one structural equation in a simultaneous equations model. However, Anderson and Rubin had earlier derived the asymptotic distribution of the limited information maximum likelihood (LIML) estimator by finding the asymptotic distribution of what is essentially...

Abstract We examine the factors responsible for variation in ionization parameter ( U ) of high-redshift star-forming galaxies based on medium-resolution JWST/NIRSpec observations obtained by Cosmic Evolution Early Release Science survey. The sample consists 48 with redshifts z spec = 2.7−6.3, which are largely representative typical at these redshifts. [S ii ] λ 6718, 6733 doublet is used to e...

In this paper, Hamilton’s (1989) Markov-switching model is extended to the simultaneous equations model. Using a framework for an instrumental variable interpretation of full information maximum likelihood (FIML) by Hausman (1975), we can deal with the problem of simultaneous equations based on the Hamilton filter. When we compared the proposed FIML Markov-switching model to LIML Markovswitchin...

In this article, we explore the Covid-19 crisis through lens of innovation. We focus on threat and opportunity drivers innovation, some their product/service process outcomes. contribute to innovation theory practice by suggesting that there are two categories during multi-level crises, such as a pandemic: (1) reactive, threat-driven innovations created contain respond organizational problems d...