Regression discontinuity designs in applied econometrics pdf

Bayesian fuzzy regression discontinuity analysis and. In the absence of randomized treatment assignment, research designs that allow for the rigorous study of nonexperimental interventions are particularly promising. View enhanced pdf access article on wiley online library html view download pdf for offline viewing. Oreopoulos 2007 or fuzzy regression discontinuity design devereux and hart 2010. First, in order for this approach to work, all other factors determining y must be evolving smoothly with respect to x. Regression discontinuity designs a regression discontinuity design enables the estimation of causal effects by exploiting discontinuities in incentives or ability to receive a discrete treatment.

A guide to practice guido imbens and thomas lemieux nber working paper no. Plan of the three lectures on regression discontinuity designs. Section 8 introduces the regression discontinuity design, which assumes the. A history of the regression discontinuity design in psychology, statistics and economics. Regression discontinuity rd analysis is a rigorous nonexperimental1 approach that can be used to estimate program impacts in situations in which candidates are selected for treatment based on whether their value for a numeric rating exceeds a designated threshold or cutpoint. Regression discontinuity designs in economics princeton university. Published in volume 48, issue 2, pages 2855 of journal of economic literature, june 2010, abstract. This volume 38 of advances in econometrics collects twelve innovative and thoughtprovoking contributions to the rd literature, covering a wide range of methodological and practical topics.

Introduction to regression discontinuity rd designs rd designs as local randomized experiments and the manipulation problem. C14,c21 abstract in regression discontinuity rd designs for evaluating causal effects of interventions, assignment to a treatment is determined at least partly by the value of an observed covariate lying on. Journal of econometrics 142 2008 611614 editorial special issue editors introduction. Cattaneo, nicolas idrobo, and rocio titiunik provide an accessible and practical guide for the analysis and interpretation of regression discontinuity rd designs that encourages the use of a common set of practices and facilitates the accumulation of rdbased empirical evidence. In the regression discontinuity design rdd, it is common practice to assess the. For one thing, labor economics has really pioneered a number of important techniques regression discontinuity designs, di. In addition to econometric essentials, mostly harmless econometrics covers important new extensionsregressiondiscontinuity designs and quantile regressionas well as how to get standard errors right. C1,h0,i0,j0 abstract this paper provides an introduction and user guide to regression discontinuity rd designs for empirical researchers.

Brian mccall presents regression discontinuity design. Regression discontinuity rd analysis is a rigorous nonexperimental1 approach. Regression discontinuity designs allow us to compare differences between groups in the neighborhood of the cutoff value x0 giving us unbiased estimates of treatment effects. Since the late 1990s regression discontinuity rd and fuzzy regression discontinuity frd designs have been of growing importance in applied economics. Rd designs work in a framework applied economists are used to. Regression discontinuity designs in social sciences1. A density test, mccrary, journal of econometrics 2008 regression discontinuity designs. Regression discontinuity rd designs were initially introduced by thistlethwaite and campbell 1960 as a way of estimating treatment effects in a nonexperimental setting where treatment is determined by whether an observed assignment variable also referred to in. Regression discontinuity rd design is a sophisticated. Regression discontinuity designs in economics david s. This paper provides an introduction and user guide to regression discontinuity rd designs for empirical resear. Journal of econometrics regression discontinuity designs. One of these is the regression discontinuity rd design, which has emerged as one of the most credible nonexperimental strategies for the analysis of causal e ects. The first two chapters explain our experimentalist perspective on applied econometrics.

Starting in the late 1990s, there has been a large number of studies in economics applying and extending rd methods. Causality and policy evaluation 25 to perform some supplementary analysis to verify that the method is not over fit ting. Wild bootstrap for fuzzy regression discontinuity designs. In everyday language both parts of the term have connotations that are primarily negative. A practical introduction to regression discontinuity designs arxiv. Regressiondiscontinuity designs basics mhe chapter 6. Regression discontinuity designs in economics assigned to. Theory and applications advances in econometrics book 38 kindle edition by cattaneo, matias d. Econometric issues at the university of texas at dallas as part of the seminar series for the texas schools project. The iza institute of labor economics is an independent economic research institute. Use features like bookmarks, note taking and highlighting while reading regression discontinuity designs. In press, corrected proof what are corrected proof articles. Regression discontinuity design with continuous measurement. Click download or read online button to get essentials of applied econometrics book now.

Theory and applications advances in econometrics book 38. A practical introduction to regression discontinuity designs. Weak identification in fuzzy regression discontinuity designs. In regression discontinuity rd designs for evaluating causal effects of interventions. A course in applied econometrics lecture 12 regression discontinuity designs guido imbens irp lectures, uw madison, august 2008 outline 1. Optimized regression discontinuity designs request pdf. Mostly harmless econometrics by angrist and pischke pdf. Regression discontinuity designs in economics american. Assumption 2c positive density at threshold let the p. The stata journal analysis of regression discontinuity. Regression discontinuity rd designs are increasingly used by researchers to obtain unbiased estimates of the effects of educationrelated interventions. Our agenda includes regression and matching, instrumental variables, differencesindifferences, regression discontinuity designs, standard errors, and the analysis of highdimensional data sets, a.

A guide to practice, imbens and lemieux, journal of econometrics 2008. This course covers empirical strategies for applied microeconometric research. In this element and its accompanying element, matias d. The regression discontinuity rd design is one of the most popular and credible research designs for program evaluation and causal inference.

Chapter 3 covers regression basics and more advanced topics related to regression and matching. Your problem sets and exams will be based on these materials. I linear on x, we can think this as linear on its unknown parameter, i. This paper is concerned with the use of a bayesian approach to fuzzy regression discontinuity rd designs for understanding the returns to education. Recent advances and applications the main reference for the lectures is d. Part 1 8 lectures covers the core of applied econometrics. Package rdd march 14, 2016 maintainer drew dimmery author drew dimmery version 0. Since the late 90s, regression discontinuity rd designs have been widely. By the end of the course, students should 1 be able to model the source of heterogeneities. Regression discontinuity designs cameron and trivedi 2005, section 25. Regression discontinuity designs in economics by david s. This paper develops a novel wild bootstrap procedure to construct robust biascorrected rbc valid confidence intervals cis for fuzzy regression discontinuity designs, providing an intuitive complement to existing rbc methods. Regression discontinuity design with measurement error in the. Lee and thomas lemieux this paper provides an introduction and user guide to regression discontinuity rd designs for empirical researchers.

A practical introduction to regression discontinuity. Essentials of applied econometrics download ebook pdf. Regression discontinuity design 12 2020731 program evaluation 4 application i will give you assignments for the following three topics. Bank, the georgetown center for econometric practice, and the. Our agenda includes regression and matching, instrumental variables, differencesindifferences, regression discontinuity designs, standard errors, and a module consisting of 89 lectures on the analysis of highdimensional data sets a. Over the past two decades, many studies in economics have relied on the regression discontinuity rd. Often access to, or incentives for participation in, a service or program is assigned based on transparent rules with crite ria based on clear cuto.

If the other variables also jump at c, then the gap. On the plus side, the core methods of applied econometrics remain largely unchanged, while the interpretation of basic tools has become more nuanced and sophisticated. The regression discontinuity designtheory and applications regression discontinuity rd designs for evaluating causal effects of interventions where assignment to a. In this element, the authors discuss the foundations of. A practical guide to regression discontinuity mdrc. Why highorder polynomials should not be used in regression discontinuity designs. Regression discontinuity designs vancouver school of economics. It presents the basic theory behind the research design, details when rd is likely to be valid or invalid given economic incentives. Using a large taiwanese data set, we establish the causality between schooling and wages by a fuzzy regression discontinuity design and our results are di. Because this is a core course for phd students, all students including masters students and undergraduates will be graded in. Our companion is an empiricists guide to the econometric essentials. Regression discontinuity designs based on population.

In this element and its accompanying second element, a practical introduction to regression discontinuity designs. Pdf the state of applied econometrics causality and. Discontinuity design relative to an otherwise comparable randomized. These designs are applicable when a continuous scoring rule is used to assign the intervention to study units. This course covers empirical strategies for applied micro research questions. Regression discontinuity designs in economics 287 design. Mostly harmless econometrics shows how the basic tools of applied econometrics allow the data to speak. Introduction a regression discontinuity rd design is a powerful and widely applicable identi. Download it once and read it on your kindle device, pc, phones or tablets. The regressiondiscontinuity design builds on the preexperimental static group comparison design by introducing a series of comparison groups, addressing the issue of selection as a potential rival explanation. Imbensa, thomas lemieuxb, adepartment of economics, harvard university and nber, m24 littauer center, cambridge, ma 028, usa bdepartment of economics, university of british columbia and nber, 9971873 east mall, vancouver, bc, v6t 1z1, canada. Linear equations with one variable recall what a linear equation is.

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