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Quiz 11

Total Points: 5

Consider this general DD matrix for the following questions, we’ll assume valid assumptions of DD for this example.

Pre-Treatment Outcome
Post-Treatment Outcome
Control Group
0.58
.71
Treatment Group
0.40
.64
  1. Using the diff-in-diff assumptions, what would be the value of the treatment group’ post-treatment outcome, had they not received treatment?
    1. 0.13
    2. 0.71
    3. 0.24
    4. 0.53
    5. 0.58
      6. ‣
      Answer
      ‣
      D
  2. What is the causal effect of the treatment?
    1. 0.13
    2. 0.24
    3. -0.11
    4. 0.11
      5. ‣
      Answer
      ‣
      D
  3. Use the following equation and the table above to answer the following questions:
      4. Yit=β0+β1(Treatedi∗Postt)+β2Posti+β3Treatedt+ϵY_{it}=\beta_0 +\beta_1(Treated_i*Post_t)+\beta_2Post_i+\beta_3Treated_t +\epsilon
    1. What is the value of β0\beta_0?
      1. 0.40
      2. 0.58
      3. 0.71
      4. 0.64
        5. ‣
        Answer

        B

    2. What does 0.40 from the table represent in terms of betas?
      1. β3\beta_3
      2. β0+β2\beta_0+\beta_2
      3. β0+β3\beta_0+\beta_3
      4. β0+β1+β2+β3\beta_0+\beta_1+\beta_2+\beta_3
        5. ‣
        Answer

        C

    3. What is the value of β2+β3\beta_2+\beta_3?
      1. 0.64
      2. -0.13
      3. -0.24
      4. -0.05
        5. ‣
        Answer

        D

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