EconPapers    
Economics at your fingertips  
 

Quantile continuous treatment effects

Javier Alejo (), Antonio F. Galvao and Gabriel Montes-Rojas ()

Econometrics and Statistics, 2018, vol. 8, issue C, 13-36

Abstract: Continuous treatments (e.g., doses) arise often in practice. Methods for estimation and inference for quantile treatment effects models with a continuous treatment are proposed. Identification of the parameters of interest, the dose-response functions and the quantile treatment effects, is achieved under the assumption that selection to treatment is based on observable characteristics. An easy to implement semiparametric two-step estimator, where the first step is based on a flexible Box–Cox model is proposed. Uniform consistency and weak convergence of this estimator are established. Practical statistical inference procedures are developed using bootstrap. Monte Carlo simulations show that the proposed methods have good finite sample properties. Finally, the proposed methods are applied to a survey of Massachusetts lottery winners to estimate the unconditional quantile effects of the prize amount, as a proxy of non-labor income changes, on subsequent labor earnings from U.S. Social Security records. The empirical results reveal strong heterogeneity across unconditional quantiles. The study suggests that there is a threshold value in non-labor income that is high enough to make all individuals stop working, and that this applies uniformly for all quantiles. It also shows that the threshold value is monotonic in the quantiles.

Keywords: Continuous treatment; Quantile treatment effects; Quantile regression (search for similar items in EconPapers)
Date: 2018
References: View references in EconPapers View complete reference list from CitEc
Citations: Track citations by RSS feed

Downloads: (external link)
http://www.sciencedirect.com/science/article/pii/S2452306217300928
Full text for ScienceDirect subscribers only. Contains open access articles

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:eee:ecosta:v:8:y:2018:i:c:p:13-36

Access Statistics for this article

Econometrics and Statistics is currently edited by E.J. Kontoghiorghes, H. Van Dijk and A.M. Colubi

More articles in Econometrics and Statistics from Elsevier
Bibliographic data for series maintained by Dana Niculescu ().

 
Page updated 2019-09-27
Handle: RePEc:eee:ecosta:v:8:y:2018:i:c:p:13-36