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On synthetic difference-in-differences and related estimation methods in Stata

Author

Listed:
  • Damian Clarke

    (University of Exeter)

  • Daniel Pailañir

    (University of Chile)

  • Susan Athey

    (Stanford University)

  • Guido Imbens

    (Stanford University)

Abstract

In this article, we describe a computational implementation of the synthetic difference-in-differences (SDID) estimator of Arkhangelsky et al. (2021, American Economic Review 111: 4088–4118) for Stata. SDID can be used in many circumstances where treatment effects on some particular policy or event are desired and repeated observations on treated and untreated units are available over time. We lay out the theory underlying SDID both when there is a single treatment adoption date and when adoption is staggered over time, and we discuss estimation and inference in each of these cases. We introduce the sdid command, which implements these methods in Stata, and provide several examples of use, discussing estimation, inference, and visualization of results. Along with SDID, the sdid command allows for the implementation of standard synthetic control and difference-in-differences methods in an identical framework, permitting estimation, inference, and the generation of graphical output in a computationally efficient way.

Suggested Citation

  • Damian Clarke & Daniel Pailañir & Susan Athey & Guido Imbens, 2024. "On synthetic difference-in-differences and related estimation methods in Stata," Stata Journal, StataCorp LLC, vol. 24(4), pages 557-598, December.
    • Handle: RePEc:tsj:stataj:v:24:y:2024:i:4:p:557-598
    DOI: 10.1177/1536867X241297914
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    Cited by:

    1. Guanhao Zhou & Yuefeng Han & Xiufan Yu, 2025. "Covariate-Adjusted Deep Causal Learning for Heterogeneous Panel Data Models," Papers 2505.20536, arXiv.org.
    2. Zhu, Bingcheng & Huang, Hongyun & Liu, Ying & Zhang, Ning, 2025. "Twin goals, one policy: Cost-effective collaborative abatement via new energy cities," Energy Economics, Elsevier, vol. 151(C).
    3. Sands, Daniel B. & Sohn, Eunhee & Seamans, Robert, 2025. "Concept and creativity: Proof-of-concept demonstration and aviation innovation in the United States, 1894–1913," Research Policy, Elsevier, vol. 54(5).
    4. Pavlič, Domen & Volk, Matjaž & Marinč, Matej, 2026. "When faced with reality: How extreme weather events influence bank lending," Research in International Business and Finance, Elsevier, vol. 81(C).
    5. Chanheung Cho & Younghyeon Jeon, 2026. "Effect of a Policy Intervention to Stimulate Lead Service Line Replacement: Evidence from Wisconsin," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 89(3), pages 1-27, March.
    6. Bilge Erten & Joseph E. Stiglitz & Eric Verhoogen, 2025. "Employment Impacts of the CHIPS Act," RFBerlin Discussion Paper Series 25166, ROCKWOOL Foundation Berlin (RFBerlin).
    7. Jonne Y. Guyt & Arjen van Lin & Kristopher O. Keller, 2025. "Banning Unsolicited Store Flyers: Does Helping the Environment Hurt Retailing?," Marketing Science, INFORMS, vol. 44(5), pages 1104-1124, September.
    8. Kim, Beomyun, 2025. "Taxing the Sweet Tooth: The Differential Impact of Large Sales Tax Changes," 2025 AAEA & WAEA Joint Annual Meeting, July 27-29, 2025, Denver, CO 360882, Agricultural and Applied Economics Association.
    9. Farzanegan, Mohammad Reza & Habibi, Nader, 2025. "The effect of international sanctions on the size of the middle class in Iran," European Journal of Political Economy, Elsevier, vol. 90(PB).
    10. Hu, Shengrong & Winters, John V., 2025. "Growing from the STEM? OPT Classification and International Students in Economics," IZA Discussion Papers 18336, IZA Network @ LISER.
    11. Berghäll, Elina, 2026. "Tax Revenue, Income Groups and Growth in Africa," Working Papers 183, VATT Institute for Economic Research.
    12. Penikas, Henry, 2025. "Limited efficiency of G-SIB capital regulation in curbing brown lending," International Review of Financial Analysis, Elsevier, vol. 105(C).
    13. Yulong Chen & Sophie Xuefei Wang & Xu Wang, 2026. "The Effects of the South‐to‐North Water Transfer Project on Agriculture in China: A Tale of Two Routes," Agricultural Economics, International Association of Agricultural Economists, vol. 57(1), January.
    14. Mandal, Bidisha, 2025. "Prenatal WIC Participation among Immigrant Mothers: The Impact of Public Charge Rule Changes," 2025 AAEA & WAEA Joint Annual Meeting, July 27-29, 2025, Denver, CO 360890, Agricultural and Applied Economics Association.
    15. Ko, Dong Gyun, 2025. "Did the American Rescue Plan cause inflation? A synthetic control approach," Economic Modelling, Elsevier, vol. 143(C).
    16. Joseph Pickens & Aaron Sojourner, 2026. "Just Cause Protection Under Manager Discrimination," ILR Review, Cornell University, ILR School, vol. 79(2), pages 333-363, March.

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