Falsification tests for instrumental variable designs with an application to tendency to operate

Abstract

We propose a falsification test for the IV assumptions using sub-populations of the data with overwhelming proportion of treated or untreated units. If the IV assumptions hold, we should find the intention-to-treat effect is zero within these sub-populations. We demonstrate this test using an IV known as tendency to operate (TTO) from health services research.

Publication
Medical Care (2019)
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