A Note on the Robustness of Card and Krueger (1994) and Neumark and Wascher (2000)
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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- Alberto Abadie, 2005. "Semiparametric Difference-in-Differences Estimators," Review of Economic Studies, Oxford University Press, vol. 72(1), pages 1-19.
- Olli Ropponen, 2011.
"Reconciling the evidence of Card and Krueger (1994) and Neumark and Wascher (2000),"
Journal of Applied Econometrics,
John Wiley & Sons, Ltd., vol. 26(6), pages 1051-1057, 09.
- Olli Ropponen, 2011. "Reconciling the evidence of Card and Krueger (1994) and Neumark and Wascher (2000)," Working Papers 24, Government Institute for Economic Research Finland (VATT).
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