SIMILAR-ON-THE-BOUNDARY TESTS FOR MOMENT INEQUALITIES EXIST, BUT HAVE POOR POWER By

نویسندگان

  • Donald W. K. Andrews
  • Kei Hirano
چکیده

This paper shows that moment inequality tests that are asymptotically similar on the boundary of the null hypothesis exist, but have poor power. Hence, existing tests in the literature, which are asymptotically non-similar on the boundary, are not de…cient. The results are obtained by …rst establishing results for the …nite-sample multivariate normal one-sided testing problem. Then, these results are shown to have implications for more general moment inequality tests that are used in the literature on partial identi…cation. Keywords: Moment inequality, one-sided test, power, similar, test. JEL Classi…cation Numbers: C12, C15.

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تاریخ انتشار 2011