Hello,
I'm working in R, and trying to understand the decision, post-matching,
between using model = 'linear' and model = 'linear-RE' in the
specification
of att(), like this:
##
data(LL)
todrop <- c("treated","re78")
# cem match: automatic bin choice
mat <- cem(treatment="treated", data=LL, drop="re78")
mat
# models
att(mat, re78 ~ treated, data=LL, model = 'linear')
att(mat, re78 ~ treated, data=LL, model = 'linear-RE')
The SATT is a bit different across models, but what's really striking is
how relatively tiny the standard errors are when model = 'linear-RE'.
Is there something I could read on the motivation behind 'linear-RE',
contexts where it might be appropriate, etc.?
Thank you,
Juan Tellez
--
Juan Fernando Tellez
http://juanftellez.com
Department of Political Science
Duke University