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A Distributional Analysis of Treatment Effects on Subpopulations of a Socioeconomic Experiment

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Abstract

When analyzing treatment effects, the average treatment value is frequently compared to that of the control group. This approach, naturally, is not particularly informative about specifc regions of the treatment and control distributions. For this reason and having in view a specifc application, in the present paper we consider tests that provide us with more detailed analysis of treatments and their effectiveness. The tests are based on comparing the treatment and control distributions (e.g., whether they are equal, one dominates another, or intersect) over their entire or partial domains of definition. The test of intersection of distributions is introduced in the paper with the scope of pinpointing the region of the tested distribution that is subject to an adverse treatment effect. We illustrate the tests on a simulation study which is based on a matched data and apply them to analyze the Pennsylvania Bonus Experiment.

Suggested Citation

  • Marcel Voia & Liqun Wang & Ricardas Zitikis, 2009. "A Distributional Analysis of Treatment Effects on Subpopulations of a Socioeconomic Experiment," Carleton Economic Papers 09-02, Carleton University, Department of Economics, revised 05 Feb 2010.
    • Handle: RePEc:car:carecp:09-02
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    More about this item

    Keywords

    Stochastic dominance; effective treatment; testing for intersection;
    All these keywords.

    JEL classification:

    • C12 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods and Methodology: General - - - Hypothesis Testing: General
    • D31 - Microeconomics - - Distribution - - - Personal Income and Wealth Distribution
    • D63 - Microeconomics - - Welfare Economics - - - Equity, Justice, Inequality, and Other Normative Criteria and Measurement

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