Ignacio Martinez’s Post

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Head of Impact Measurement @YouTube

Super exited to see "LongBet: Heterogeneous Treatment Effect Estimation in Panel Data" on arxiv. Thanks Meijia Wang and P. Richard Hahn! This paper introduces a novel approach for estimating heterogeneous treatment effects of binary treatment in panel data, particularly focusing on short panel data with large cross-sectional data and observed confoundings. In contrast to traditional literature in difference-in-differences method that often relies on the parallel trend assumption, our proposed model does not necessitate such an assumption. Instead, it leverages observed confoundings to impute potential outcomes and identify treatment effects. The method presented is a Bayesian semi-parametric approach based on the Bayesian causal forest model, which is extended here to suit panel data settings. The approach offers the advantage of the Bayesian approach to provides uncertainty quantification on the estimates. Simulation studies demonstrate its performance with and without the presence of parallel trend. Additionally, our proposed model enables the estimation of conditional average treatment effects, a capability that is rarely available in panel data settings.

LongBet: Heterogeneous Treatment Effect Estimation in Panel Data

LongBet: Heterogeneous Treatment Effect Estimation in Panel Data

arxiv.org

Yossi Zaltsman

Gaming Analytics | Gaming Economy | Data Enthusiast

1mo

Hi, can you please provide a practical simple usage example with this method, so I can understand if its worth deepening?

Aleksander Molak

Author of "Causal Inference & Discovery in Python" || Host at CausalBanditsPodcast.com || Causal AI for Everyone || Consulting & Advisory

1mo

Thank you for sharing Ignacio Martinez - very interesting.

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