Problems - Ch8

Create the simulated data used in section 4.

1. How do the probabilities of passing change from 3rd to 4th down? Explain.

2. How do they change with to go distance and position on field?

3. Can you determine the parameters of the model, the thetas? Assume you can observe run and pass choices for both Offense and Defense as well as the success or failure of the play.

Write up GMM estimator to do IV estimation with multiple instruments. Use this to replicate Card (1995), compare the results to the results using both distance to college and parents at home as instruments.

Recreate the simulated data with 10,000 plays. Use the GMM estimator to estimate the parameters assuming you only observe play of Offense and the outcome.