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Sensitivity analysis for average treatment effects

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Author Info
Sascha O. Becker () (Center for Economic Studies, Ludwig-Maximilians-University)
Marco Caliendo () (DIW-Berlin)

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Abstract

Based on the conditional independence or unconfoundedness assump- tion, matching has become a popular approach to estimate average treatment effects. Checking the sensitivity of the estimated results with respect to devia- tions from this identifying assumption has become an increasingly important topic in the applied evaluation literature. If there are unobserved variables that affect assignment into treatment and the outcome variable simultaneously, a hidden bias might arise to which matching estimators are not robust. We address this prob- lem with the bounding approach proposed by Rosenbaum (Observational Studies, 2nd ed., New York: Springer), where mhbounds lets the researcher determine how strongly an unmeasured variable must influence the selection process to undermine the implications of the matching analysis. Copyright 2007 by StataCorp LP.

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Publisher Info
Article provided by StataCorp LP in its journal Stata Journal.

Volume (Year): 7 (2007)
Issue (Month): 1 (February)
Pages: 71-83
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Handle: RePEc:tsj:stataj:v:7:y:2007:i:1:p:71-83

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Related research
Keywords: mhbounds; matching; treatment effects; sensitivity analysis; unobserved heterogeneity; Rosenbaum bounds;

Cited by:
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  2. Caliendo, Marco & Clement, Michel & Papies, Dominik & Scheel-Kopeinig, Sabine, 2008. "The Cost Impact of Spam Filters: Measuring the Effect of Information System Technologies in Organizations," IZA Discussion Papers 3755, Institute for the Study of Labor (IZA). [Downloadable!]
  3. Hohmeyer, Katrin & Wolff, Joachim, 2007. "A fistful of Euros: Does One-Euro-Job participation lead means-tested benefit recipients into regular jobs and out of unemployment benefit II receipt?," IAB Discussion Paper 200732, Institut für Arbeitsmarkt- und Berufsforschung (IAB), Nürnberg [Institute for Employment Research, Nuremberg, Germany]. [Downloadable!]
  4. Meliyanni Johar, 2007. "The Impact of the Indonesian Health Card Program: A Matching Estimator Approach," Discussion Papers 2007-30, School of Economics, The University of New South Wales. [Downloadable!]
  5. Sarah Brown & Karl Taylor, 2008. "Expectations, Reservation Wages And Employment: Evidence From British Panel Data," Working Papers 2008007, The University of Sheffield, Department of Economics, revised May 2008. [Downloadable!]
  6. Sarah Brown & Karl Taylor, 2008. "Reservation Wages, Expected Wages and Labour Market Outcomes: Analysis of Individual Level Panel Data," Working Papers 2008008, The University of Sheffield, Department of Economics, revised Jul 2008. [Downloadable!]
  7. Hartig, Martina & Jozwiak, Eva & Wolff, Joachim, 2008. "Trainingsmaßnahmen: Für welche unter 25-jährigen Arbeitslosengeld-II-Empfänger erhöhen sie die Beschäftigungschancen?," IAB-Forschungsbericht 200806, Institut für Arbeitsmarkt- und Berufsforschung (IAB), Nürnberg [Institute for Employment Research, Nuremberg, Germany]. [Downloadable!]
  8. Bernhard, Sarah & Wolff, Joachim, 2008. "Contracting out placement services in Germany : is assignment to private providers effective for needy job-seekers?," IAB Discussion Paper 200805, Institut für Arbeitsmarkt- und Berufsforschung (IAB), Nürnberg [Institute for Employment Research, Nuremberg, Germany]. [Downloadable!]
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