Fuzzy difference in discontinuities
Authors
Jaime Millán-Quijano
Journal
Applied Economics Letters
Date
28-11-2019
Abstract

This paper discusses the conditions needed to estimate the local average treatment effect (LATE) of a policy using the ‘difference-in-discontinuities’method while considering imperfect compliance. I show that simple and plausible assumptions about the participation and effects of the confounding existing policies allow the identification of the causal effect of a new policy. Identification is feasible even when information about the participation in other confounding policies is not available.