Please use this identifier to cite or link to this item: https://hdl.handle.net/10419/241916 
Year of Publication: 
2020
Series/Report no.: 
cemmap working paper No. CWP41/20
Publisher: 
Centre for Microdata Methods and Practice (cemmap), London
Abstract: 
We show that a standard linear triangular two equation system can be point identified, without the use of instruments or any other side information. We find that the only case where the model is not point identified is when a latent variable that causes endogeneity is normally distributed. In this non-identified case, we derive the sharp identified set. We apply our results to Acemoglu and Johnson's (2007) model of life expectancy and GDP, obtaining point identification and comparable estimates to theirs, without using their (or any other) instrument.
Persistent Identifier of the first edition: 
Document Type: 
Working Paper

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