EconBase
← All papers

Double Machine Learning for Static Panel Models with Fixed Effects

Paul S. Clarke, Annalivia Polselli

arXiv 13 Dec 2023 · Econometrics · publishedEconometrics Journal (2025) · 11 citations (OpenAlex)

arXiv:2312.08174 · PDF · DOI · OpenAlex · Extracted main text

Abstract

Recent advances in causal inference have seen the development of methods which make use of the predictive power of machine learning algorithms. In this paper, we develop novel double machine learning (DML) procedures for panel data in which these algorithms are used to approximate high-dimensional and nonlinear nuisance functions of the covariates. Our new procedures are extensions of the well-known correlated random effects, within-group and first-difference estimators from linear to nonlinear panel models, specifically, Robinson (1988)'s partially linear regression model with fixed effects and unspecified nonlinear confounding. Our simulation study assesses the performance of these procedures using different machine learning algorithms. We use our procedures to re-estimate the impact of minimum wage on voting behaviour in the UK. From our results, we recommend the use of first-differencing because it imposes the fewest constraints on the distribution of the fixed effects, and an ensemble learning strategy to ensure optimum estimator accuracy.

Citation extraction

39
references
97
in-text mentions
39
distinct cited
0
self-citations
10,301
main-text words

appendix boundary found by appendix_titled_section at “Online Supplementary Information” · 61% of the source is main text. Read the extracted text to check this.

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
1Semenova, V., M. Goldman, V. Chernozhukov, and M. Taddy (2023) Inference on heterogeneous treatment effects in high-dimensional dynamic panels under weak dependence1.000114100%
2Klosin, S. and M. Vilgalys (2023) Estimating continuous treatment effects in panel data using machine learning with an agricultural application1.00093100%
3Robinson, P. M (1988) Root-n-consistent semiparametric regression0.92843100%
4Chernozhukov, V., D. Chetverikov, M. Demirer, E. Duflo, C. Hansen, W… (2018) Double/debiased machine learning for treatment and structural parameters0.87415667%
5Wooldridge, J. M (2019) Correlated random effects models with unbalanced panels0.87462100%
6Chang, N.-C (2020) Double/debiased machine learning for difference-in-differences models0.87452100%
7Fazio, A. and T. Reggiani (2023) Minimum wage and tolerance for high incomes0.81142100%
8Wooldridge, J. M. and Y. Zhu (2020) Inference in approximately sparse correlated random effects probit models with panel data0.81142100%
9Athey, S. and G. Imbens (2016) Recursive partitioning for heterogeneous causal effects0.64422100%
10Athey, S., J. Tibshirani, and S. Wager (2019) Generalized random forests0.64422100%

Showing the top 10 of 39 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
1Double Machine Learning meets Panel Data - Promises, Pitfalls, and Potential Solutions1.00093
2xtdml: Double Machine Learning Estimation to Static Panel Data Models with Fixed Effects in R0.92843
3Double Machine Learning for Static Panel Data with Instrumental Variables: New Method and Applications0.92843
4An Introduction to Double/Debiased Machine Learning0.40511
5Debiased Machine Learning for Unobserved Heterogeneity: High-Dimensional Panels and Measurement Error Models0.40511