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Inference in Regression Discontinuity Designs under Monotonicity

Koohyun Kwon, Soonwoo Kwon

arXiv 28 Nov 2020 · Econometrics · 2 citations (OpenAlex)

arXiv:2011.14216 · PDF · DOI · OpenAlex · Extracted main text

Abstract

We provide an inference procedure for the sharp regression discontinuity design (RDD) under monotonicity, with possibly multiple running variables. Specifically, we consider the case where the true regression function is monotone with respect to (all or some of) the running variables and assumed to lie in a Lipschitz smoothness class. Such a monotonicity condition is natural in many empirical contexts, and the Lipschitz constant has an intuitive interpretation. We propose a minimax two-sided confidence interval (CI) and an adaptive one-sided CI. For the two-sided CI, the researcher is required to choose a Lipschitz constant where she believes the true regression function to lie in. This is the only tuning parameter, and the resulting CI has uniform coverage and obtains the minimax optimal length. The one-sided CI can be constructed to maintain coverage over all monotone functions, providing maximum credibility in terms of the choice of the Lipschitz constant. Moreover, the monotonicity makes it possible for the (excess) length of the CI to adapt to the true Lipschitz constant of the unknown regression function. Overall, the proposed procedures make it easy to see under what conditions on the underlying regression function the given estimates are significant, which can add more transparency to research using RDD methods.

Citation extraction

33
references
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Most heavily cited references

The works this paper leans on most, across its whole bibliography — not restricted to papers in our corpus. Ranked by composite intensity, which combines how often a work is mentioned, how many sections mention it, and how much of that falls in the main text rather than the appendix.

ReferenceIntensityMentionsSectionsMain text
1Armstrong, T. B. and M. Kolesár (2020) b): Simple and honest confidence intervals in nonparametric regression1.00055100%
2Imbens, G. and S. Wager (2019) Optimized regression discontinuity designs0.9619489%
3Babii, A. and R. Kumar (2020) Isotonic regression discontinuity designs0.9507586%
4Donoho, D. L (1994) Statistical Estimation and Optimal Recovery0.9416383%
5Armstrong, T. B. and M. Kolesár (2018) a): Optimal inference in a class of regression models0.93717682%
6Lee, D. S (2008) Randomized experiments from non-random selection in US House elections0.9285480%
7Armstrong, T. B. and M. Kolesár (2018) b): A simple adjustment for bandwidth snooping0.81142100%
8Cai, T. T. and M. G. Low (2004) An adaptation theory for nonparametric confidence intervals0.81142100%
9Kwon, K. and S. Kwon (2020) Adaptive Inference in Multivariate Nonparametric Regression Models Under Monotonicity, Working paper self0.7547443%
10Armstrong, T. B. and M. Kolesár (2018) c): Supplement to 'Optimal inference in a class of regression models'0.7373367%

Showing the top 10 of 33 scored citations.

Cited by, within the corpus

arXiv econ.EM papers that cite this one, ranked by how heavily they lean on it.

Citing paperIntensityMentionsSections
1Short and Simple Confidence Intervals when the Directions of Some Effects are Known0.87452
2Optimal Decision Rules Under Partial Identification0.58531
3Adaptive Inference in Multivariate Nonparametric Regression Models Under Monotonicity0.40511
4Bias-Aware Inference in Regularized Regression Models0.40511
5Optimal estimation for regression discontinuity design with binary outcomes0.40511