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DID placebo test and Stata application

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  • Yan Guanpeng

    (Shandong University)

Abstract

he parallel trends assumption on which differences in differences (DID) relies is inherently untestable. For this reason, recent empirical studies have increasingly used placebo tests to further examine the robustness of the estimated results. This presentation will comprehensively sort out various types of DID placebo tests and classic cases and introduce the new Stata command didplacebo for DID placebo tests. This command can automatically perform the time and space placebo test of DID and provide a visual display.

Suggested Citation

  • Yan Guanpeng, 2024. "DID placebo test and Stata application," Chinese Stata Conference 2023 04, Stata Users Group.
    • Handle: RePEc:boc:chin23:04
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    File URL: http://repec.org/chin2023/China23_Guanpeng.zip
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