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Noncompliance in randomized control trials without exclusion restrictions

Masayuki Sawada

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Abstract: This study proposes a method to identify treatment effects without exclusion restrictions in randomized experiments with noncompliance. Exploiting a baseline survey commonly available in randomized experiments, I decompose the intention-to-treat effects conditional on the endogenous treatment status. I then identify these parameters to understand the effects of the assignment and treatment. The key assumption is that a baseline variable maintains rank orders similar to the control outcome. I also reveal that the change-in-changes strategy may work without repeated outcomes. Finally, I propose a new estimator that flexibly incorporates covariates and demonstrate its properties using two experimental studies.

Date: 2019-10, Revised 2021-06
New Economics Papers: this item is included in nep-ecm, nep-exp and nep-mfd
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Handle: RePEc:arx:papers:1910.03204