Quantcast
Channel: Statalist
Viewing all articles
Browse latest Browse all 65096

Regression after propensity score matching

$
0
0
Hi everyone. I would need your help with the following
I'm running a dif-in-dif analysis and the first stage is to match each observation in the treated group with one ob in the control group by nearest neighbour propensity score.
For simplicity, I use the following sample data

use http://ssc.wisc.edu/sscc/pubs/files/psm,replace

( a treatment indicator t, covariates x1 and x2, and an outcome y)


Then, I use psmatch2 for propensity score match:

psmatch2 t x1 x2, out(y) logit

Now I have new id (generated by stata as _id) of treated observations and id of the matched control observations for each pair. After dropping obs in the control group that are not matched with any obs in the treated group, I now have a new sample

Next, I want to run a regression to test the effect of the treatment and I want the variable t (1 for treated and 0 for control) to capture the difference between treated and control for each pair (that was matched before in the propensity score match). I got confused at this stage because if I simply run:

reg y t x1 x2

then what t captures is the average difference between the whole treated group and the whole control group, instead of the difference for each pair.

Can you please suggest how I can solve this.

Thank you so much

Viewing all articles
Browse latest Browse all 65096

Trending Articles



<script src="https://jsc.adskeeper.com/r/s/rssing.com.1596347.js" async> </script>