Distangling Age, Cohort and Time Effects in the Additive Model
David McKenzie ()
Working Papers from Stanford University, Department of Economics
July 2002 This paper presents a new approach to the old problem of linear dependency of age, cohort and time effects. It is shown that second differences of the effects can be estimated without any normalization restrictions, providing information on the shape of the age, cohort and time effect profiles, and enabling identification of structural breaks. A Wald test is provided to test the popular linear and quadratic specifications against a very general alternative. First differenced and level effects can then be consistently estimated with a small number of additional normalizing assumptions. Moreover, it is demonstrated that coefficients on additional exogenous regressors can be consistently estimated in this framework without the need for normalizing assumptions. Working Papers Index
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (1) Track citations by RSS feed
Downloads: (external link)
Our link check indicates that this URL is bad, the error code is: 404 Not Found (http://www-econ.stanford.edu/faculty/workp/swp02009.pdf [302 Found]--> http://web.stanford.edu/dept/economics/faculty/workp/swp02009.pdf)
Journal Article: Disentangling Age, Cohort and Time Effects in the Additive Model (2006)
This item may be available elsewhere in EconPapers: Search for items with the same title.
Export reference: BibTeX
RIS (EndNote, ProCite, RefMan)
Persistent link: https://EconPapers.repec.org/RePEc:wop:stanec:02009
Access Statistics for this paper
More papers in Working Papers from Stanford University, Department of Economics Contact information at EDIRC.
Bibliographic data for series maintained by Thomas Krichel ().