The book first discusses in depth various aspects of the well-known inconsistency that arises when explanatory variables in a linear regression model are measured with error. Despite this inconsistency, the region where the true regression coeffecients lies can sometimes be characterized in a useful way, especially when bounds are known on the measurement error variance but also when such information is absent. Wage discrimination with imperfect productivity measurement is discussed as an important special case.
Next, it is shown that the inconsistency is not accidental but...
The book first discusses in depth various aspects of the well-known inconsistency that arises when explanatory variables in a linear regression mod...
