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A Note on the Robustness of Card and Krueger (1994) and Neumark and Wascher (2000)

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  • Olli Ropponen

Abstract

This note adds to the discussion originating from David Card and Alan B. Krueger (1994; CK) and David Neumark and William Wascher (2000; NW). It re-evaluates their results by using the semiparametric difference-in-differences estimator introduced by Alberto Abadie (2005). The re-evaluation suggests that the original results on the average employment effect in CK and NW are fairly robust, although the NW results are slightly diluted when taking into account the differences in the distributions of the observed covariates.

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Bibliographic Info

Paper provided by Government Institute for Economic Research Finland (VATT) in its series Working Papers with number 25.

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Date of creation: 14 Jun 2011
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Handle: RePEc:fer:wpaper:25

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Keywords: Employment; minimum wage; nonlinear treatment effect models;

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  1. Alberto Abadie, 2005. "Semiparametric Difference-in-Differences Estimators," Review of Economic Studies, Oxford University Press, vol. 72(1), pages 1-19.
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Cited by:
  1. Essi Eerola & Teemu Lyytikäinen, 2012. "On the role of public price information in housing markets," Working Papers, Government Institute for Economic Research Finland (VATT) 30, Government Institute for Economic Research Finland (VATT).

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  1. A note on the robustness of Card and Krueger (1994) and Neumark and Wascher (2000) (EE 2014) in ReplicationWiki

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