IDEAS home Printed from https://ideas.repec.org/p/fip/fedcwp/1208.html
   My bibliography  Save this paper

Local average neighborhood effects from moving to opportunity

Author

Listed:
  • Dionissi Aliprantis
  • Francisca Richter

Abstract

This paper estimates Local Average Treatment Effects (LATEs) of neighborhood quality from the Moving to Opportunity (MTO) housing mobility experiment in a generalized model with multiple treatment levels. We propose a new approach to identifying parameters that exploits the identification of unobservables in the multi-level model. The variation in neighborhood quality induced by MTO only allows us to identify LATEs of moving from the first to the second decile of the national distribution of quality, but in other applications the approach may allow for the estimation of Marginal Treatment Effects. Estimated LATEs on employment, labor force participation rates, earnings, income, welfare receipt, and body mass index are consistent with standard theories of neighborhood externalities.

Suggested Citation

  • Dionissi Aliprantis & Francisca Richter, 2012. "Local average neighborhood effects from moving to opportunity," Working Papers (Old Series) 1208, Federal Reserve Bank of Cleveland.
    • Handle: RePEc:fip:fedcwp:1208
    DOI: 10.26509/frbc-wp-201208
    Note: First version posted March 2012 under the title “Local Average Neighborhood Effects from Moving to Opportunity.” A revision posted in October 2012 was titled “Marginal Neighborhood Effects from Moving to Opportunity.”
    as

    Download full text from publisher

    File URL: https://doi.org/10.26509/frbc-wp-201208
    File Function: Persistent Link
    Download Restriction: no
    File URL: https://libkey.io/10.26509/frbc-wp-201208?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    References listed on IDEAS

    as
    1. James J. Heckman & Edward Vytlacil, 2005. "Structural Equations, Treatment Effects, and Econometric Policy Evaluation," Econometrica, Econometric Society, vol. 73(3), pages 669-738, May.
    2. Votruba, Mark Edward & Kling, Jeffrey R., 2009. "Effects of neighborhood characteristics on the mortality of black male youth: Evidence from Gautreaux, Chicago," Social Science & Medicine, Elsevier, vol. 68(5), pages 814-823, March.
    3. Lisa Sanbonmatsu & Jeffrey R. Kling & Greg J. Duncan & Jeanne Brooks-Gunn, 2006. "Neighborhoods and Academic Achievement: Results from the Moving to Opportunity Experiment," Journal of Human Resources, University of Wisconsin Press, vol. 41(4).
    4. Pedro Carneiro & James J. Heckman & Edward J. Vytlacil, 2011. "Estimating Marginal Returns to Education," American Economic Review, American Economic Association, vol. 101(6), pages 2754-2781, October.
    5. John Goering, 2003. "The impacts of new neighborhoods on poor families: evaluating the policy implications of the moving to opportunity demonstration," Economic Policy Review, Federal Reserve Bank of New York, issue Jun, pages 113-140.
    6. Stefanie DeLuca & James Rosenbaum, 2003. "If low‐income blacks are given a chance to live in white neighborhoods, will they stay? Examining mobility patterns in a quasi‐experimental program with administrative data," Housing Policy Debate, Taylor & Francis Journals, vol. 14(3), pages 305-345.
    7. James J. Heckman & Sergio Urzua & Edward Vytlacil, 2006. "Understanding Instrumental Variables in Models with Essential Heterogeneity," The Review of Economics and Statistics, MIT Press, vol. 88(3), pages 389-432, August.
    8. Dionissi Aliprantis, 2011. "Assessing the evidence on neighborhood effects from moving to opportunity," Working Papers (Old Series) 1101, Federal Reserve Bank of Cleveland.
    9. Philip Oreopoulos, 2003. "The Long-Run Consequences of Living in a Poor Neighborhood," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 118(4), pages 1533-1575.
    10. Guido W. Imbens, 2004. "Nonparametric Estimation of Average Treatment Effects Under Exogeneity: A Review," The Review of Economics and Statistics, MIT Press, vol. 86(1), pages 4-29, February.
    11. Kosuke Imai & David A. van Dyk, 2004. "Causal Inference With General Treatment Regimes: Generalizing the Propensity Score," Journal of the American Statistical Association, American Statistical Association, vol. 99, pages 854-866, January.
    12. Micere Keels & Greg Duncan & Stefanie Deluca & Ruby Mendenhall & James Rosenbaum, 2005. "Fifteen years later: Can residential mobility programs provide a long-term escape from neighborhood segregation, crime, and poverty," Demography, Springer;Population Association of America (PAA), vol. 42(1), pages 51-73, February.
    13. Bjorklund, Anders & Moffitt, Robert, 1987. "The Estimation of Wage Gains and Welfare Gains in Self-selection," The Review of Economics and Statistics, MIT Press, vol. 69(1), pages 42-49, February.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Dionissi Aliprantis, 2011. "Assessing the evidence on neighborhood effects from moving to opportunity," Working Papers (Old Series) 1101, Federal Reserve Bank of Cleveland.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Dionissi Aliprantis, 2011. "Assessing the evidence on neighborhood effects from moving to opportunity," Working Papers (Old Series) 1101, Federal Reserve Bank of Cleveland.
    2. Dionissi Aliprantis, 2017. "Assessing the evidence on neighborhood effects from Moving to Opportunity," Empirical Economics, Springer, vol. 52(3), pages 925-954, May.
    3. P. Lovaglio & S. Verzillo, 2016. "Heterogeneous economic returns to higher education: evidence from Italy," Quality & Quantity: International Journal of Methodology, Springer, vol. 50(2), pages 791-822, March.
    4. Robert A. Moffitt & Matthew V. Zahn, 2019. "The Marginal Labor Supply Disincentives of Welfare: Evidence from Administrative Barriers to Participation," NBER Working Papers 26028, National Bureau of Economic Research, Inc.
    5. Guido W. Imbens & Jeffrey M. Wooldridge, 2009. "Recent Developments in the Econometrics of Program Evaluation," Journal of Economic Literature, American Economic Association, vol. 47(1), pages 5-86, March.
    6. Pedro Carneiro & Michael Lokshin & Nithin Umapathi, 2017. "Average and Marginal Returns to Upper Secondary Schooling in Indonesia," Journal of Applied Econometrics, John Wiley & Sons, Ltd., vol. 32(1), pages 16-36, January.
    7. Pedro Carneiro & James J. Heckman & Edward J. Vytlacil, 2011. "Estimating Marginal Returns to Education," American Economic Review, American Economic Association, vol. 101(6), pages 2754-2781, October.
    8. Tafti, Elena Ashtari, 2023. "Technology, Skills, and Performance: The Case of Robots in Surgery," CINCH Working Paper Series (since 2020) 78746, Duisburg-Essen University Library, DuEPublico.
    9. Cornelissen, Thomas & Dustmann, Christian & Raute, Anna & Schönberg, Uta, 2016. "From LATE to MTE: Alternative methods for the evaluation of policy interventions," Labour Economics, Elsevier, vol. 41(C), pages 47-60.
    10. Anirban Basu & James J. Heckman & Salvador Navarro-Lozano & Sergio Urzua, 2007. "Use of instrumental variables in the presence of heterogeneity and self-selection: an application to treatments of breast cancer patients," Health Economics, John Wiley & Sons, Ltd., vol. 16(11), pages 1133-1157.
    11. Bartalotti, Otávio & Kédagni, Désiré & Possebom, Vitor, 2023. "Identifying marginal treatment effects in the presence of sample selection," Journal of Econometrics, Elsevier, vol. 234(2), pages 565-584.
    12. Matias D Cattaneo & Michael Jansson & Xinwei Ma, 2019. "Two-Step Estimation and Inference with Possibly Many Included Covariates," The Review of Economic Studies, Review of Economic Studies Ltd, vol. 86(3), pages 1095-1122.
    13. Philipp Eisenhauer & James J. Heckman & Edward Vytlacil, 2015. "The Generalized Roy Model and the Cost-Benefit Analysis of Social Programs," Journal of Political Economy, University of Chicago Press, vol. 123(2), pages 413-443.
    14. Eric Schuss & Mohammed Azaouagh, 2021. "Combining parenthood and work: transmission channels and heterogeneous returns to early public childcare," Review of Economics of the Household, Springer, vol. 19(3), pages 641-676, September.
    15. Hideo Akabayashi & TIm Ruberg & Chizuru Shikishima & Jun Yamashita, 2023. "Education-Oriented and Care-Oriented Preschools:Implications on Child Development," Keio-IES Discussion Paper Series 2023-009, Institute for Economics Studies, Keio University.
    16. Laura Schmitz, 2022. "Heterogeneous Effects of After-School Care on Child Development," Discussion Papers of DIW Berlin 2006, DIW Berlin, German Institute for Economic Research.
    17. James J. Heckman, 2008. "The Principles Underlying Evaluation Estimators with an Application to Matching," Annals of Economics and Statistics, GENES, issue 91-92, pages 9-73.
    18. Xiang Zhou & Yu Xie, 2016. "Propensity Score–based Methods Versus MTE-based Methods in Causal Inference," Sociological Methods & Research, , vol. 45(1), pages 3-40, February.
    19. Black, Dan A. & Joo, Joonhwi & LaLonde, Robert & Smith, Jeffrey A. & Taylor, Evan J., 2022. "Simple Tests for Selection: Learning More from Instrumental Variables," Labour Economics, Elsevier, vol. 79(C).
    20. Dionissi Aliprantis, 2017. "Human capital in the inner city," Empirical Economics, Springer, vol. 53(3), pages 1125-1169, November.

    More about this item

    Keywords

    Housing policy; Econometric models; Poverty;
    All these keywords.

    NEP fields

    This paper has been announced in the following NEP Reports:

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:fip:fedcwp:1208. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: 4D Library (email available below). General contact details of provider: https://edirc.repec.org/data/frbclus.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.