Treatment Effects With Unobserved Heterogeneity: A Set Identification Approach

A-Tier
Journal: Journal of Business & Economic Statistics
Year: 2016
Volume: 34
Issue: 2
Pages: 302-311

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

We propose the sharp identifiable bounds of the potential outcome distributions using panel data. We allow for the possibility that statistical randomization of treatment assignments is not achieved until <italic>unobserved</italic> heterogeneity is properly controlled for. We use certain stationarity assumptions to obtain the sharp bounds. Our approach allows for dynamic treatment decisions, where the current treatment decisions may depend on the past treatments or the past observed outcomes. As an empirical illustration, we study the effect of smoking during pregnancy on infant birthweight. We find that for the group of switchers the infant birthweight of a smoking mother is first-order stochastically dominated by that of a nonsmoking mother.

Technical Details

RePEc Handle
repec:taf:jnlbes:v:34:y:2016:i:2:p:302-311
Journal Field
Econometrics
Author Count
3
Added to Database
2026-01-25