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A Note on Variance Estimation for the Oaxaca Estimator of Average Treatment Effects / Patrick M. Kline.

NBER Working papers Available online

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Format:
Book
Author/Creator:
Kline, Patrick M.
Contributor:
National Bureau of Economic Research.
Series:
Working Paper Series (National Bureau of Economic Research) no. w19784.
NBER working paper series no. w19784
Language:
English
Physical Description:
1 online resource: illustrations (black and white);
Place of Publication:
Cambridge, Mass. National Bureau of Economic Research 2014.
Summary:
We derive the limiting distribution of the Oaxaca estimator of average treatment effects studied by Kline (2011). A consistent estimator of the asymptotic variance is proposed that makes use of standard regression routines. It is shown that ignoring uncertainty in group means will tend to lead to an overstatement of the asymptotic standard errors. Monte Carlo experiments examine the finite sample performance of competing approaches to inference.
Notes:
Print version record
January 2014.

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