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A Simple Procedure for the Evaluation of Treatment Effects on Duration Variables

Jaap H. Abbring () and Gerard J. van den Berg

No 810, IZA Discussion Papers from Institute for the Study of Labor (IZA)

Abstract: Often, a treatment and the outcome of interest are characterized by the moment they occur, and these moments are realizations of stochastic processes with dependent unobserved determinants. We develop a simple and intuitive method for inference on the treatment effect. The method can be implemented as a graphical procedure or as a straightforward parameter test in an auxiliary univariate single-spell duration model. The method exploits information on the timing of the treatment relative to the outcome that is discarded in binary treatment analyses.

Keywords: duration analysis; hazard rate; selectivity bias; treatment effect; unobserved heterogeneity (search for similar items in EconPapers)
JEL-codes: C14 C31 C41 (search for similar items in EconPapers)
Date: Written 2003-06
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