A Matching Estimator Based on a Bilevel Optimization Problem

A-Tier
Journal: Review of Economics and Statistics
Year: 2015
Volume: 97
Issue: 4
Pages: 803-812

Authors (3)

Juan Díaz (not in RePEc) Tomás Rau (Pontificia Universidad Católic...) Jorge Rivera (not in RePEc)

Score contribution per author:

1.341 = (α=2.01 / 3 authors) × 2.0x A-tier

α: calibrated so average coauthorship-adjusted count equals average raw count

Abstract

This paper proposes a novel matching estimator where neighbors used and weights are endogenously determined by optimizing a covariate balancing criterion. The estimator is based on finding, for each unit that needs to be matched, sets of observations such that a convex combination of them has the same covariate values as the unit needing matching or with minimized distance between them. We implement the proposed estimator with data from the National Supported Work Demonstration, finding outstanding performance in terms of covariate balance. Monte Carlo evidence shows that our estimator performs well in designs previously used in the literature.

Technical Details

RePEc Handle
repec:tpr:restat:v:97:y:2015:i:4:p:803-812
Journal Field
General
Author Count
3
Added to Database
2026-01-29