Introduction to Instrumental Variables Estimation

We’ll learn about Instrumental Variables, and how to use them for estimating a linear regression model

In this article, we’ll learn about an ingenious technique for estimating linear regression models using an artifact called the Instrumental Variable.

Instrumental Variables (IV) based estimation allows the regression modeler to deal with a serious situation that bedevils a large fraction of regression models, one where one or more regression variables turn out to …

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