bounds function

bounds

bounds estimates bounds for the Quantile Treatment Effect on the Treated (QTET) using the method of Fan and Yu (2012).

bounds(
  formla,
  xformla = NULL,
  t,
  tmin1,
  tname,
  data,
  idname,
  probs = seq(0.05, 0.95, 0.05)
)

Arguments

• formla: The formula y ~ d where y is the outcome and d is the treatment indicator (d should be binary), d should be equal to one in all time periods for individuals that are eventually treated
• xformla: A optional one sided formula for additional covariates that will be adjusted for. E.g ~ age + education. Additional covariates can also be passed by name using the x paramater.
• t: The 3rd time period in the sample. Treated individuals should be treated in this time period and untreated individuals should not be treated. The code attempts to enforce this condition, but it is good try to handle this outside the panel.qtet method.
• tmin1: The 2nd time period in the sample. This should be a pre-treatment period for all individuals in the sample.
• tname: The name of the column containing the time periods
• data: A data.frame containing all the variables used
• idname: The individual (cross-sectional unit) id name
• probs: A vector of values between 0 and 1 to compute the QTET at

Returns

A BoundsObj object

Examples

## load the data
data(lalonde)

## Run the bounds method with no covariates
b1 <- bounds(re ~ treat, t=1978, tmin1=1975, data=lalonde.psid.panel,
  idname="id", tname="year")
summary(b1)

References

Fan, Yanqin and Zhengfei Yu. ``Partial Identification of Distributional and Quantile Treatment Effects in Difference-in-Differences Models.'' Economics Letters 115.3, pp.511-515, 2012.