The error term and its interpretation in structural models in econometrics
This chapter explores what the error term represents in structural models in econometrics and the assumptions about the error terms that are used for successful statistical and causal inference. The error term is of particular interest because it acts as a coverall term for parts of the system that are not fully known about and not explicitly modelled. The chapter attempts to bring some of the key assumptions imposed on the error term for different purposes (statistical and causal inference) and to ask to what extent the conditions imposed on the error term can be empirically tested in some way.
Oxford Scholarship Online requires a subscription or purchase to access the full text of books within the service. Public users can however freely search the site and view the abstracts and keywords for each book and chapter.
If you think you should have access to this title, please contact your librarian.