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Identification of Marginal Effects in Nonseparable Models Without Monotonicity

Econometrica 2007 75(5), 1513-1518
Nonseparable models do not impose any type of additivity between the unobserved part and the observable regressors, and are therefore ideal for many economic applications. To identify these models using the entire joint distribution of the data as summarized in regression quantiles, monotonicity in unobservables has frequently been assumed. This paper establishes that in the absence of monotonicity, the quantiles identify local average structural derivatives of nonseparable models.