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Is there any case that the coefficient of variable of interest in DiD more significant when adding more variables?
Is there any case that the coefficient of variable of interest in DiD more significant when adding more variables?

Considering a Difference-in-Differences equation with a dummy variable:

yi=α+βDi+Xit+εi.

While Xit is a set of covariates. Today when I add more covariates, the p-value decrease. Is it normal? If it is normal, what does it mean then?

And if it is a problem, what should I deal with that?

Many thanks in advance.

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Is there any case that the coefficient of variable of interest in DiD more significant when adding more variables?

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Home / Data Cleaning / Data management / Data Processing / Is there any case that the coefficient of variable of interest in DiD more significant when adding more variables? Is there any case that the coefficient of variable of interest in DiD more significant when adding more variables?

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