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Experimental and Quasi-Experimental Methods of Microeconomic Program and Policy Evaluation

Author

Listed:
  • Jeff Borland

    (Department of Economics, The University of Melbourne)

  • Yi-Ping Tseng

    (Melbourne Institute of Applied Economic and Social Research, The University of Melbourne)

  • Roger Wilkins

    (Melbourne Institute of Applied Economic and Social Research, The University of Melbourne)

Abstract

In this paper we review new empirical methods for evaluating microeconomic policies. Experimental and quasi-experimental evaluation measure the causal impact of a policy by comparing outcomes in the presence of the policy 'treatment' with outcomes in the absence of this treatment. For example, evaluation of a government program involves comparing outcomes associated with participation and non-participation in the program. We describe the motivation for the use of experimental and quasi-experimental methods, the types of policy effects that they can identify, and how they are implemented. Application of experimental and quasi-experimental methods is illustrated through a brief review of a variety of recent Australian studies that have evaluated microeconomic policies such as labour market programs, welfare payments policies, education policies, health policies and minimum wage laws.

Suggested Citation

  • Jeff Borland & Yi-Ping Tseng & Roger Wilkins, 2005. "Experimental and Quasi-Experimental Methods of Microeconomic Program and Policy Evaluation," Melbourne Institute Working Paper Series wp2005n08, Melbourne Institute of Applied Economic and Social Research, The University of Melbourne.
    • Handle: RePEc:iae:iaewps:wp2005n08
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    File URL: http://melbourneinstitute.unimelb.edu.au/downloads/working_paper_series/wp2005n08.pdf
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    References listed on IDEAS

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    2. Wright, Christopher, 2006. "Estimating the Effect of the Chesapeake Bay Program on Application Rates for Enrollment in the Environmental Quality Incentive Program: A Case Study of Pennsylvania," 2006 Annual meeting, July 23-26, Long Beach, CA 21164, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).

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