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Differences-in-Differences with multiple Treatments under Control

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  • Marcus Roller, Daniel Steinberg

Abstract

Numerous quasi-experimental identification strategies making use of the differencein- differences setup suffer from multiple treatments which can be separated into sequential and simultaneous treatments. While for causal inferences under sequential treatments a staggered difference-in-differences approach might be applied, for causal inferences under simultaneous treatments the standard differences-indifferences approach is normally not applicable. Accordingly, we present an adjusted differences-in-differences identification strategy that can neutralize the effects of additional treatments implemented simultaneously through the definition and the specific composition of the control group and an amended common trend assumption. Even though the adjusted difference-in-differences strategy identifies the average treatment effect on the treated, we also show that the adjusted strategy is capable of identifying the average treatment effect under stronger common trend assumptions and the absence of interaction effects between the treatments.

Suggested Citation

  • Marcus Roller, Daniel Steinberg, 2023. "Differences-in-Differences with multiple Treatments under Control," Diskussionsschriften credresearchpaper41, Universitaet Bern, Departement Volkswirtschaft - CRED.
    • Handle: RePEc:rdv:wpaper:credresearchpaper41
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    File URL: https://repec.vwiit.ch/cred/CREDResearchPaper41.pdf
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    References listed on IDEAS

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    Cited by:

    1. Enzo Brox & Riccardo Di Francesco, 2024. "The Cost of Coming Out," Papers 2403.03649, arXiv.org, revised Jun 2024.

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    More about this item

    Keywords

    Econometrics; Semiparametric and Nonparametric Methods; Treatment Effect Models;
    All these keywords.

    JEL classification:

    • C01 - Mathematical and Quantitative Methods - - General - - - Econometrics
    • C14 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods and Methodology: General - - - Semiparametric and Nonparametric Methods: General
    • C21 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Cross-Sectional Models; Spatial Models; Treatment Effect Models

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