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Bayesian modelling for binary outcomes in the regression discontinuity design

Author

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  • Geneletti, Sara
  • Baio, Gianluca
  • O'Keeffe, Aidan
  • Ricciardi, Federico

Abstract

The regression discontinuity (RD) design is a quasi-experimental design which emulates a randomized study by exploiting situations where treatment is assigned according to a continuous variable as is common in many drug treatment guidelines. The RD design literature focuses principally on continuous outcomes. We exploit the link between the RD design and instrumental variables to obtain an estimate for the causal risk ratio for the treated when the outcome is binary. Occasionally this risk ratio for the treated estimator can give negative lower confidence bounds. In the Bayesian framework we impose prior constraints that prevent this from happening. This is novel and cannot be easily reproduced in a frequentist framework. We compare our estimators with those based on estimating equation and generalized methods-of-moments methods. On the basis of extensive simulations our methods compare favourably with both methods and we apply our method to a real example to estimate the effect of statins on the probability of low density lipoprotein cholesterol levels reaching recommended levels.

Suggested Citation

  • Geneletti, Sara & Baio, Gianluca & O'Keeffe, Aidan & Ricciardi, Federico, 2019. "Bayesian modelling for binary outcomes in the regression discontinuity design," LSE Research Online Documents on Economics 100096, London School of Economics and Political Science, LSE Library.
  • Handle: RePEc:ehl:lserod:100096
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    File URL: http://eprints.lse.ac.uk/100096/
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    References listed on IDEAS

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    Cited by:

    1. Mariam O. Adeleke & Gianluca Baio & Aidan G. O'Keeffe, 2022. "Regression discontinuity designs for time‐to‐event outcomes: An approach using accelerated failure time models," Journal of the Royal Statistical Society Series A, Royal Statistical Society, vol. 185(3), pages 1216-1246, July.

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    Keywords

    MR/K014838/1;

    JEL classification:

    • C1 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods and Methodology: General

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