The Effects of Firm Size and Experience on Safety and Environmental Performance in the Oil and Gas Industry, Part I: A Proposed Treatment for Sample Selection in Detection-Controlled Estimation Models

12 Pages Posted: 12 Sep 2014 Last revised: 19 Feb 2015

Date Written: September 11, 2014

Abstract

Consider a case where it is desired to estimate a detection-controlled estimation model in each of two regimes where the observations in each regime are the result of a selection process. This paper proposes a treatment for this sample selection problem for the case of a probit selection equation and Poisson/probit detection-controlled estimation model. While not investigated here, extensions to the proposed treatment for other functional forms of the selection equation and/or the detection-controlled estimation model are believed to be straightforward.

Keywords: Detection Controlled Estimation, Sample Selection, Oil and Gas, Safety, Environment

JEL Classification: C34, C35, L71, Q39

Suggested Citation

Jablonowski, Christopher, The Effects of Firm Size and Experience on Safety and Environmental Performance in the Oil and Gas Industry, Part I: A Proposed Treatment for Sample Selection in Detection-Controlled Estimation Models (September 11, 2014). USAEE Working Paper No. 14-172, Available at SSRN: https://ssrn.com/abstract=2495000 or http://dx.doi.org/10.2139/ssrn.2495000

Christopher Jablonowski (Contact Author)

Shell Exploration and Production Company ( email )

Houston, TX
United States

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