Identification in a nutshell By using simple algebra we have EBR=1,S=0 EYIS=0-E(YIS PrR=1S=0 Estimators of the causal effect of retirement on consumption are analogue estimators obtained by replacing the quantities in the last expression by their empirical counterparts Following Imbens and angrist(1994) and hanh et al (2001), it can be shown that this expression coincides with the iv estimator obtained by instrumenting the endogenous variable r with the eligibility status defined from sBy using simple algebra we have: • Estimators of the causal effect of retirement on consumption are analogue estimators obtained by replacing the quantities in the last expression by their empirical counterparts. • Following Imbens and Angrist (1994) and Hanh et al. (2001), it can be shown that this expression coincides with the IV estimator obtained by instrumenting the endogenous variable R with the eligibility status defined from S* .         * * * * | 0 | 0 | 1, 0 Pr 1| 0 E Y S E Y S E R S R S  + − + + = − = = = = = = Identification in a nutshell