A Bayesian Approach to Model Uncertainty /

This paper develops the theoretical background for the Limited Information Bayesian Model Averaging (LIBMA). The proposed approach accounts for model uncertainty by averaging over all possible combinations of predictors when making inferences about the variables of interest, and it simultaneously ad...

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Autor principal: Tsangarides, Charalambos
Format: Revista
Idioma:English
Publicat: Washington, D.C. : International Monetary Fund, 2004.
Col·lecció:IMF Working Papers; Working Paper ; No. 2004/068
Matèries:
Accés en línia:Full text available on IMF
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Sumari:This paper develops the theoretical background for the Limited Information Bayesian Model Averaging (LIBMA). The proposed approach accounts for model uncertainty by averaging over all possible combinations of predictors when making inferences about the variables of interest, and it simultaneously addresses the biases associated with endogenous and omitted variables by incorporating a panel data systems Generalized Method of Moments estimator. Practical applications of the developed methodology are discussed, including testing for the robustness of explanatory variables in the analyses of the determinants of economic growth and poverty.
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Descripció física:1 online resource (21 pages)
Format:Mode of access: Internet
ISSN:1018-5941
Accés:Electronic access restricted to authorized BRAC University faculty, staff and students