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Chapter 64 STRUCTURAL ECONOMETRIC MODELING: RATIONALES AND EXAMPLES FROM INDUSTRIALORGANIZATIONPETER C. REISSG raduate School of Business, Stanford University, Stanford, CA 94305-5015, A. WOLAKD epartment of Economics, Stanford University, Stanford, CA 94305-6072, Introduction42812. STRUCTURAL models defined42823. Constructing STRUCTURAL Sources of Why add structure? Evaluating structure single equation Evaluating structure simultaneous equation The role of nonexperimental data in STRUCTURAL modeling43014. A framework for STRUCTURAL ECONOMETRIC models in The economic The stochastic Unobserved heterogeneity and agent Optimization Measurement Steps to STRUCTURAL model epilogue43145.
Ch. 64: Structural Econometric Modeling 4281 1. Introduction The founding members of the Cowles Commission defined econometrics as: “a branch of economics in which economic theory and statistical method are fused in the analysis
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