Article ID Journal Published Year Pages File Type
5061583 Economics Letters 2010 4 Pages PDF
Abstract

We show that it is not possible to extend Arora (1996) reduced form test for the existence of complementarity to evaluate the relationship between a couple of dichotomous strategies as it leads to an incoherent simultaneous discrete response model.

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Social Sciences and Humanities Economics, Econometrics and Finance Economics and Econometrics
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Testing for complementarity when strategies are dichotomous
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