Some Reading List Links

• Freedman, David, "Statistical Models and Shoe Leather," Sociological Methodology, 21, 1991, 291-313.
• Popper, Karl, "Science: Conjectures and Refutations," in Philosophy of Science: The Central Issues, Martin Curd and J.A. Cover, eds., W.W. Norton and Company, pp. 3-10.
• Angrist, Joshua and Alan Krueger, "Empirical Strategies in Labor Economics," in Handbook of Labor Economics, Volume 3A, North-Holland, 1999, Chapter 23.
• DiNardo, John, and Jorn-Steffen Pischke, "The Returns to Computer Use Revisited: Have Pencils Changed the Wage Structure Too?" Quarterly Journal of Economics, 112(1), February 1997, 291-303.
• Ashenfelter, Orley and Alan Krueger, "Estimates of the Economic Return to Schooling from a New Sample of Twins," American Economic Review, 84(5), December 1994, 1157-1173.

Lectures 3, 4, 5: Selection on observables, propensity score and matching methods

• Rosenbaum, Paul and Donald Rubin, "Reducing Bias in Observational Studies Using Subclassification on the Propensity Score," Journal of the American Statistical Association, 79, 1985, 516-524.
• Lalonde, Robert, "Evaluating Econometric Evaluations of Training Programs with Experimental Data," American Economic Review, 76(4), September 1986, 604-620.
• Dehejia, Rajeev and Sadek Wahba, "Causal Effects in Non-Experimental Studies: Reevaluating the Evaluation of Training Programs," Journal of the American Statistical Association, 94, 1999, 1053-1062.
• Smith, Jeffrey and Petra Todd, Does Matching Overcome Lalonde's Critique of Nonexperimental Methods?" Journal of Econometrics, Volume 125 (1-2), 2004, 305-353.

Lecture 5, 6: Regression discontinuity design approaches to omitted variables bias

• Ashenfelter, Orley and David Card, "Using the Longitudinal Structure of Earnings to Estimate the Effect of Training Programs," Review of Economics and Statistics, 1985, 648-660.
• Cook, Thomas and Donald Campbell, "The Regression-Discontinuity Design, in Quasi-Experimentation, Design & Analysis Issues for Field Settings, Houghton Mifflin, 1979, 137-146.
• Chay, Kenneth Y., Patrick McEwan and Miguel Urquiola, "The Central Role of Noise in Evaluating Interventions that Use Test Scores to Rank School," American Economic Review, September 2005.

Lectures 7, 8, 9, 10: Selection on unobservables, instrumental variables, control functions, heterogeneous treatment effects and self-selection

• Angrist, Joshua, Guido Imbens, and Donald Rubin, "Identification of Causal Effects Using Instrumental Variables," Journal of the American Statistical Association, 91, 1996, 444-455.
• Wooldridge, Jeffrey, "On Two Stage Least Squares Estimation of the Average Treatment Effect in a Random Coefficient Model," Economics Letters, 56, 1997, 129-133
• Garen, John, "The Returns to Schooling: A Selectivity Bias Approach witha Continuous Choice Variable," Econometrica, 52, 1984, 1199-1218.
• Ahn, Hyungtaik and James Powell, Semiparametric Estimation of Censored Selection Models with a Nonparametric Selection Mechansim," Journal of Econometrics, 58(1), 1993, pp. 3-29.
• Heckman, James, Dummy Endogenous Variables in a Simultaneous Equations System," Econometrica, 46, 1978, pp. 931-959.
• Heckman, James, "Varieties of Selection Bias," American Economic Review, 80, 1990, 313-318.
• Heckman, James and Bo Honore, The Empirical Content of the Roy Model," Econometrica, 59, 1990, pp. 1121-1149.
• Card, David, "The Causal Effect of Education on Earnings," in Handbook of Labor Economics, volume 3A, Chapter 30, North-Holland, 1999.
• Chay, Kenneth and Michael Greenstone, "Does Air Quality Matter? Evidence From the Housing Market," Journal of Political Economy, April 2005, pp. 376-424.

Lectures 10, 11, 12: Panel data (and siblings) models

• Chamberlain, Gary, "Panel Data," Chapter 22 in Handbook of Econometrics, Volume II, 1984, pp. 1247-1318.
• Baltagi, Badi, "Dynamic Panel Data Models," Chapter 8 in Econometric Analysis of Panel Data, Wiley, 1995, pp. 125-148.
• Jakubson, George, "Estimation and Testing of the Union Wage Effect Using Panel Data," Review of Economic Studies, 58, 1991, pp. 971-991.
• Almond, Douglas, Ken Chay, and Dave Lee, "The Costs of Low Birth Weight," revised March 2005 http://emlab.berkeley.edu/users/kenchay/index.shtml

Lectures 12, 13, 14: Health Capital, Demand for Health, and Health Production Functions

Background Papers
• Becker, Gary S., "A Theory of the Allocation of Time," The Economic Journal, LXXV (1965), 493-517.
• Grossman, Michael, "On the Concept of Health Capital and the Demand for Health," Journal of Political Economy, 80 (1972), 223-255.
• Becker, Gary S. and Nigel Tomes, "Child Endowments, and the Quantity and Quality of Children," Journal of Political Economy, 84 (1976), S143-S162.
• Rosenzweig, Mark R., and T. Paul Schultz, "Estimating a Household Production Function: Heterogeneity, the Demand for Health Inputs, and Their Effects on Birth weight," Journal of Political Economy, XCI (1983), 723-746.
• Behrman, Jere R., Mark R. Rosenzweig, and Paul Taubman, "Endowments and the Allocation of Schooling in the Family and in the Marriage Market: The Twins Experiment," Journal of Political Economy, CII (1994), 1131-1174.

Recent Research
• Sexton, Mary and J. Richard Hebel, "A Clinical Trial of Change in Maternal Smoking and Its Effects on Birth Weight," Journal of the American Medical Association, 251, 1984, pp.911-915.
• Chay, Kenneth and Michael Greenstone, "Air Quality, Infant Mortality, and the Clean Air Act of 1970," mimeograph, UC-Berkeley, October 2003.
• Almond, Douglas, Kenneth Chay and Michael Greenstone, "Civil Rights, the War on Poverty, and Black-White Convergence in Infant Mortality in Mississippi," mimeograph, UC-Berkeley, November 2003.
• Almond, Douglas and Kenneth Chay, "The Long-Run and Intergenerational Impact of Poor Infant Health: Evidence from Cohorts Born During the Civil Rights Era," mimeograph, UC-Berkeley, April 2003.

Exercises and Solutions

Problem Set 1

Problem Set 2

Problem Set 3

Handouts

Handout for Lecture 1 and 2

Handout for Lecture 3 and 4

Drawing for pg 8 of Handout for Lecture 3 and 4