In multi-cutoff regression discontinuity designs, constant-bias extrapolation is unreliable when the running variable is manipulable, and under monotonicity plus dominance the extrapolated treatment effect is sharply bounded by two estimable regression functions.
Extrapolation in Regression Discontinuity Design Using Comonotonicity
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abstract
We present a novel approach for extrapolating causal effects away from the margin between treatment and non-treatment in sharp regression discontinuity designs with multiple covariates. Our methods apply both to settings in which treatment is a function of multiple observables and settings in which treatment is determined based on a single running variable. Our key identifying assumption is that conditional average treated and untreated potential outcomes are comonotonic: covariate values associated with higher average untreated potential outcomes are also associated with higher average treated potential outcomes. We provide an estimation method based on local linear regression. Our estimands are weighted average causal effects, even if comonotonicity fails. We apply our methods to evaluate counterfactual mandatory summer school policies.
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econ.EM 1years
2024 1verdicts
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On Extrapolation of Treatment Effects in Multiple-Cutoff Regression Discontinuity Designs
In multi-cutoff regression discontinuity designs, constant-bias extrapolation is unreliable when the running variable is manipulable, and under monotonicity plus dominance the extrapolated treatment effect is sharply bounded by two estimable regression functions.