John M. Riveros

Performing a parallel pre-trend test in universal absorbing treatments in R

Introduction In a recent paper from the Journal of Research, Innovation and Technologies published last year, there was a significant discussion (Riveros Gavilanes, 2023) about how control variables might be related to the fulfillment of parallel trends in event study (or dynamic differences-in-differences) of panel data. In this article, we will replicate such paper and …

Performing a parallel pre-trend test in universal absorbing treatments in R Read More »

Is Welfare affected more by inequality than economic growth?

Whether if welfare is affected by inequality or growth is one of the “hot” topics in economics. It is stated from economic theory that Welfare can be affected in two potential ways by these situations. A positive effect over Welfare from economic growth, and a negative effect of Welfare by increases in inequality. Some new …

Is Welfare affected more by inequality than economic growth? Read More »

Endogenous co-regressor… Not what you think!

In classic econometrics textbooks and classes, we often associate endogeneity to the correlation or relationship with the error term from a regressor. This is correct and fully agreed upon across authors and professors. But there’s some kind of new endogenous behavior that may not be correlated with the error/residual only, and it may be a …

Endogenous co-regressor… Not what you think! Read More »

Government and Transparency: An Applied Econometric Case for Colombia

In modern times, there has been an integration of the technologies of information and the public sector, which are strictly correlated with the development of open government policies across the world. This is an increasing concern in empirical approximations from the field of Public Economics, in the sense that we can ask several questions regarding …

Government and Transparency: An Applied Econometric Case for Colombia Read More »

Panel Data Nonlinear Simultaneous Equation Models with Two-Stage Least Squares using Stata

In this article, we will follow Woolridge (2002) procedure to estimate a set of equations with nonlinear functional forms for panel data using the two-stage least squares estimator. It has to be mentioned that this topic is quite uncommon and not used a lot in applied econometrics, this is due that instrumenting the nonlinear terms …

Panel Data Nonlinear Simultaneous Equation Models with Two-Stage Least Squares using Stata Read More »