Normally, the anticipation effect is tested as an assumption for Diff-in-Diff. However, it seems that it is necessary for examining the impact of laws on firms' behavior or else. For example, we want to test if the anti-collusion affects firms' assets growth. Therefore, we expect that firms will know about the establishment of the laws(due to media, government discussion, insider information), leading to firms change their assets growth before the actual event dates.
On the other hand, I am wondering if we need to test anticipation effect if the event date is a natural event ( not a laws, etc), saying an example that the level of vaccinated people/population is 30% or a tsunami, I do not think anticipation test is needed, can I ask your opinion then?
Related Posts with Should we test anticipation effect for Diff-in-Diff in natural event?
Saving obs with parmest or parmbyHi all, I'm using national survey data to analyze health outcomes for particular population groups.…
Precision issues with rounding of a variableHello Statalist, I am using Stata 15.1 and would like to request advice regarding a precision issue…
Survey pointer to spouse without MataI'm using the IPUMS extract of the CPS March Supplement. In their extract, the variables YEAR, SERIA…
Interpretation when dependent and independent variables are percentagesDear all, I have a problem with the interpretation of my dependent variables. My dependent variable…
Infix problem (using invalid varname)Hello, I am trying to read in fixed width data from a .txt file. I am following the documentation f…
Subscribe to:
Post Comments (Atom)
0 Response to Should we test anticipation effect for Diff-in-Diff in natural event?
Post a Comment