Hi all,

I aim at estimating the effect of job loss on the labor supply of the spouse using an event study. I estimate the effect once using not yet treated units as my control units and once using never treated individuals as my control units. My question is concerning how to compare the different estimates.

The estimation with not yet treated units yields the following:
Array


When repeating it with never treated units, I get:
Array

While with never treated units I make one normalization (i.e. I set period -1 to zero), I make two restrictions with not yet treated units (cf. Baker, Larcker and Wang, 2022). Here, I set lag -1 and -4 to zero.

My question: How can I compare, for example, the coefficient for period +2? Can I simply conclude that 542.23 is smaller than 598.1? Or do I have to see it relative to the pre-event coefficients (which are a bit different between the two specifications)?

Thanks already now!

Kathrin