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Instrumental Variables in Sociology and the Social Sciences

Bibliographic Data

ID7635351
AuthorsK A Bollen (0000-0002-6710-3800, Department of Sociology, University of North Carolina, Chapel Hill, North Carolina 27599-3210;)
Year2012
Volume38
Issue1
Pages37-72
Publication date2012-08-11
Peer ReviewedYes
Open AccessNo
TypeARTICLE
VenueAnnual Review of Sociology (BOOK_SERIES)
Journal identifiersISSN: 0360-0572 • E-ISSN: 1545-2115
PublisherAnnual Reviews (PUBLISHER • US)
DOI10.1146/annurev-soc-081309-150141
OpenAlexW2104615113
LanguageEN
Citations received92
References cited129

Instrumental variable (IV) methods provide a powerful but underutilized tool to address many common problems with observational sociological data. Key to their successful use is having IVs that are uncorrelated with an equation's disturbance and that are sufficiently strongly related to the problematic endogenous covariates. This review briefly defines IVs, summarizes their origins, and describes their use in multiple regression, simultaneous equation models, factor analysis, latent variable structural equation models, and limited dependent variable models. It defines and contrasts three methods of selecting IVs: auxiliary instrumental variable, model implied instrumental variable, and randomized instrumental variable. It provides overidentification tests and weak IV diagnostics as methods to evaluate the quality of IVs. I review the use of IVs in models that assume heterogeneous causal effects. Another section summarizes the use of IVs in contemporary sociological publications. The conclusion suggests ways to improve the use of IVs and suggests that there are many areas in which IVs could be profitably used in sociological research

Covariate · Econometrics · Instrumental variable · Latent variable · Observational study · Sociology · Statistics · Structural equation modeling · Uncorrelated · Variable (mathematics · Variables · Advanced Causal Inference Techniques · Mathematics · Qualitative Comparative Analysis Research · Social Capital and Networks

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