A Methodology for Testing Comparative Economic Theories: Theory and Application to East-West Environmental Policies
Peter Murrell and Randi Ryterman ,
( 15 )
Journal of Comparative Economics

Many variables of interest to comparative economists are difficult to measure or are unavailable for empirical research. To test for the effects of such variables, we offer a methodology based on examining the bias that is introduced when such variables are omitted from a model's estimation. Further, our methodology is able to use data that are available only for some countries, using a procedure to estimate missing observations.

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