Threshold models in micro-econometrics with applications to empirical models of health
Develop new statistical approaches or threshold effects in empirical health economics models.
The aim of this project is to develop and apply new statistical approaches to endogenously identify non-linear relationships between explanatory variables and the response variable in non-linear econometric models, and to illustrate these with applications important to empirical health economics. Literature proliferates in linear models with non-linear effects, but in health economics non-linear models dominate. We will generalise our techniques to allow for various forms of the threshold variables, including categorical and continuous, endogenous and exogenous, and those measured with error.