TY - RPRT AU - Heckman, James J. AU - Navarro, Salvador TI - Using Matching, Instrumental Variables and Control Functions to Estimate Economic Choice Models PY - 2003/Apr/ PB - Institute of Labor Economics (IZA) CY - Bonn T2 - IZA Discussion Paper IS - 768 UR - https://www.iza.org/index.php/publications/dp768 AB - This paper investigates four topics. (1) It examines the different roles played by the propensity score (probability of selection) in matching, instrumental variable and control functions methods. (2) It contrasts the roles of exclusion restrictions in matching and selection models. (3) It characterizes the sensitivity of matching to the choice of conditioning variables and demonstrates the greater robustness of control function methods to misspecification of the conditioning variables. (4) It demonstrates the problem of choosing the conditioning variables in matching and the failure of conventional model selection criteria when candidate conditioning variables are not exogenous. KW - identification KW - discrete choice KW - instrumental variables KW - control functions KW - matching ER -