Difference-in-Differences with Staggered Treatment Timing

Maurice Bailey and John Kendall

Journal of Economics and Econometrics, 2021, vol. 64, issue 3, 69-102

Abstract: Staggered treatment timing poses challenges to identify the treatment effect because the post-period dummy is not defined for control observations. Usually, researcher exploit variation in treatment timing and employ the two-way fixed effects model; differences in when units received treatment contribute to identification. Given that difference-in-differences analysis with staggered treatment timing are likely to be biased in the presence of treatment effect heterogeneity, we propose a methodology to correct for the bias induced by the staggered nature of policy adoption.

Keywords: Difference-in-differences; variation in treatment timing; dynamic treatment effects. (search for similar items in EconPapers)
JEL-codes: C13 C18 C21 C22 C23 (search for similar items in EconPapers)
Date: 2021
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Citations: View citations in EconPapers (1)

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