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Results tagged with endogeneity
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user 361606
Endogeneity refers to a situation where an explanatory variable in a model is correlated with the error term. Endogeneity induces biased parameter estimates. This is an important problem when working with observational data and the goal is causal inference.
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Mechanical Relationship between two variables
Recently I attended a conference in which one of the authors was talking about the mechanical relationship between variables "X" and "Y" (I don't remember exactly the variables) and possible sources of endogeneity …
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