Student X does a Hausman test for endogeneity on a big dataset ( N=300K+)
and finds everything is endogenous, including things like age. He asks:
is there an alternative test? I can't think of one. But is this a case
of "when N is huge, everything is significant"? I seem to recall there
is some correction one can make for large N but I can't remember
where.
Any help gratefully received.
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Prof Simon Price email: [log in to unmask]
Department of Economics
City University Tel (work): +44 (0)171 477 8000 ext 4503
Northampton Square Fax (work): +44 (0)171 477 8580
London EC1V 0HB UK
URL http://www.city.ac.uk/~sm344
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