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Fuzzy differences-in-differences with Stata

Author

Listed:
  • Clément de Chaisemartin

    (UC Santa Barbara - University of California [Santa Barbara] - UC - University of California)

  • Xavier D’haultfœuille

    (CREST - Centre de Recherche en Économie et Statistique - ENSAI - Ecole Nationale de la Statistique et de l'Analyse de l'Information [Bruz] - X - École polytechnique - ENSAE Paris - École Nationale de la Statistique et de l'Administration Économique - CNRS - Centre National de la Recherche Scientifique)

  • Yannick Guyonvarch

    (CREST - Centre de Recherche en Économie et Statistique - ENSAI - Ecole Nationale de la Statistique et de l'Analyse de l'Information [Bruz] - X - École polytechnique - ENSAE Paris - École Nationale de la Statistique et de l'Administration Économique - CNRS - Centre National de la Recherche Scientifique)

Abstract

Differences-in-differences evaluates the effect of a treatment. In its basic version, a "control group" is untreated at two dates, whereas a "treatment group" becomes fully treated at the second date. However, in many applications of this method, the treatment rate increases more only in the treatment group. In such fuzzy designs, de Chaisemartin and D'Haultfœuille (2018b, Review of Economic Studies 85: 999–1028) propose various estimands that identify local average and quantile treatment effects under different assumptions. They also propose estimands that can be used in applications with a nonbinary treatment, multiple periods, and groups and covariates. In this article, we present the command fuzzydid, which computes the various corresponding estimators. We illustrate the use of the command by revisiting Gentzkow, Shapiro, and Sinkinson (2011, American Economic Review 101: 2980–3018).

Suggested Citation

  • Clément de Chaisemartin & Xavier D’haultfœuille & Yannick Guyonvarch, 2019. "Fuzzy differences-in-differences with Stata," Post-Print hal-04430884, HAL.
    • Handle: RePEc:hal:journl:hal-04430884
    DOI: 10.1177/1536867X19854019
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    1. Fernandez-Navia, Tania & Polo-Muro, Eduardo & Tercero-Lucas, David, 2021. "Too afraid to vote? The effects of COVID-19 on voting behaviour," European Journal of Political Economy, Elsevier, vol. 69(C).
    2. Ferrante, Livio & Reito, Francesco & Spagano, Salvatore & Torrisi, Gianpiero, 2021. "Shall we follow the money? Anti-mafia policies and electoral competition," Journal of Policy Modeling, Elsevier, vol. 43(5), pages 1110-1130.
    3. Chen, Jean Jinghan & Cui, Chuantao & Hunt, Richard A. & Li, Leona Shao-Zhi, 2020. "External enablement of new venture creation: An exploratory, query-driven assessment of China's high-speed rail expansion," Journal of Business Venturing, Elsevier, vol. 35(6).
    4. Karwowski, Nicole, 2023. "The Effects of Wetland Easements on Agricultural Yields," 2023 Annual Meeting, July 23-25, Washington D.C. 335462, Agricultural and Applied Economics Association.

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