  I discuss various ways in which inference based on the estimation of the
parameters of statistical models (reduced-form estimation) can be combined with
inference based on the estimation of the parameters of economic models
(structural estimation). I discuss five basic categories of integration:
directly combining the two methods, using statistical models to simplify
structural estimation, using structural estimation to extend the validity of
reduced-form results, using reduced-form techniques to assess the external
validity of structural estimations, and using structural estimation as a sample
selection remedy. I illustrate each of these methods with examples from
corporate finance, banking, and personal finance.
