Moment Inequalities and Partial Identification in Industrial Organization

Brendan Kline, Ariel Pakes and Elie Tamer

No 29409, NBER Working Papers from National Bureau of Economic Research, Inc

Abstract: We review approaches to identification and inference on models in Industrial Organization with partial identification and/or moment inequalities. Often, such approaches are intentionally built directly on assumptions of optimizing behavior that are credible in Industrial Organization settings, while avoiding the use of strong modeling and measurement assumptions that may not be warranted. The result is an identified set for the object of interest, reflecting what the econometrician can learn from the data and assumptions. The chapter formally defines identification, reviews the assumptions underlying the identification argument, and provides examples of their use in Industrial Organization settings. We then discuss the corresponding statistical inference problem paying particular attention to practical implementation issues.

JEL-codes: C18 L22 L25 (search for similar items in EconPapers)
Date: 2021-10
New Economics Papers: this item is included in nep-com, nep-ecm and nep-reg
Note: IO
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