Constrained Conditional Moment Restriction Models

Shape restrictions have played a central role in economics as both testable implications of theory and sufficient conditions for obtaining informative counterfactual predictions. In this paper, we provide general procedure inference under shape identified partially models defined by conditional moment restrictions. Our test statistics proposed methods are based on the minimum generalized method moments (GMM) objective function with without Uniformly valid critical values obtained through bootstrap that approximates subset true local parameter space. an empirical analysis effect childbearing female labor supply, show employing linear instrumental variables (IV) can lead to shorter confidence regions average treatment effects. Other applications discuss include variability quantile IV effects bounds equivalent variation demand model heterogeneity.