Robust Modeling of Policy Changes: Difference in Difference (DiD)

The difference in Difference (DiD) is a popular method in empirical economics and has important applications in other social sciences as well. DID is a quasi-experimental design that uses panel data to estimate the effects of specific intervention or treatment (such as policy changes, new laws, social program implementation) on outcomes over time and between two population groups, those that are affected by this policy and those that are not. DiD, in general, is an appealing choice for researchers who want to design a research methodology based on controlling for confounding variables.

Applications of DiD are quite diverse, amongst are

  • Impact evaluation (public policy analysis)
  • Measuring the variations overtime (Time Series) and over individuals (Cross-Sectional Data)
  • Focusing on the establishment of effects on a dependent variable derived from the interaction of exogenous variables given a treatment.
  • Variants of the DiD method can account to deal with auto-selection bias and endogeneity problems.
  • Comparing the differences between observed outcomes from partial and non-randomized samples in groups.

Although this method is highly important, few learning resources are available to instruct researchers and scientists how to properly implement and design it. There may be some resources that discuss the theoretical foundations of this method while listing a few examples of its applications. However a fully-fledged learning material for DiD that covers both theory, and guides researchers to implement this method on statistical software using real and simulated data applications are rather scarce.

At M&S Research Hub we recently launched a video library wherein our team of academic experts record offline training videos for advanced econometrics methods. This material is designed to fit researchers at different proficiency levels. They cover both theoretical and mathematical basics of the target models and their detailed application using statistical software, leaving the researcher in no further need to search for other learning resources.

A complete DiD course that takes around 158 minutes and is recorded over 7 videos are available in the library for everyone who wants to master the DID method.

Please follow and like us:

Author: Sherif M. Hassan

Sherif Maher Hassan is a member of the academic council of M&S Research Hub (www.ms-researchhub.com), he has been a research affiliate at the Global Labor Network (GLO) since 2017, a research associate at the Economic Research Forum (ERF) since 2018, a member in the Eurasia Business and Economics Society (EBES) and International Institute of Social and Economic Sciences (IISEC). His current research focuses in general on development economics, particulary political economy, demographic changes, migration and fertility behavior. He holds a Ph.D. in Economics from Philipps University of Marburg, an MA in Economics and political science from the same university and a joint MSc in Economics from Suez Canal and Cairo Universities.

14 thoughts on “Robust Modeling of Policy Changes: Difference in Difference (DiD)”

  1. Have you ever considered about adding a little bit more than just your articles?
    I mean, what you say is valuable and all. However think of if you added some great
    graphics or videos to give your posts more, “pop”!

    Your content is excellent but with images and video clips,
    this website could undeniably be one of the best in its niche.

    Terrific blog!

  2. Good post. I learn something new and challenging on websites I
    stumbleupon on a daily basis. It will always be helpful to read articles from other writers
    and use something from other websites.

  3. Someone necessarily lend a hand to make significantly articles I would state.
    This is the very first time I frequented your website page and up to now?
    I amazed with the research you made to make this particular publish extraordinary.

    Great process!

    Feel free to surf to my web-site KetoGenix

  4. I’m not that much of a online reader to be honest but your sites really nice,
    keep it up! I’ll go ahead and bookmark your website to
    come back later. Cheers

  5. Hi there! I know this is kinda off topic however
    , I’d figured I’d ask. Would you be interested in exchanging links or maybe guest authoring a blog
    article or vice-versa? My blog addresses a lot of the same topics as yours and
    I feel we could greatly benefit from each other. If you happen to be interested feel free to shoot me an e-mail.
    I look forward to hearing from you! Fantastic
    blog by the way!

  6. You’re so interesting! I do not think I’ve read through something like this before.
    So great to discover another person with some unique thoughts on this topic.

    Really.. thanks for starting this up. This web site is something that’s needed
    on the web, someone with some originality!

  7. Hello there I am so happy I found your web site, I really found you by accident, while I was researching on Digg
    for something else, Anyhow I am here now and would just like to say thanks a lot for
    a fantastic post and a all round thrilling blog (I also love the theme/design),
    I don’t have time to go through it all at the moment but I have
    saved it and also included your RSS feeds,
    so when I have time I will be back to read a great deal more,
    Please do keep up the excellent jo.

  8. Hi, i read your blog from time to time and i own a similar one and i was just curious
    if you get a lot of spam feedback? If so how do you protect against it,
    any plugin or anything you can suggest? I get so much lately it’s driving
    me insane so any help is very much appreciated.

  9. Hi there, i read your blog from time to time and i own a similar
    one and i was just curious if you get a lot of spam comments?
    If so how do you reduce it, any plugin or anything you can advise?
    I get so much lately it’s driving me insane so any support is very much appreciated.

  10. whoah this blog is magnificent i love studying your posts.
    Keep up the good work! You understand, many individuals are searching
    round for this info, you could help them greatly.

  11. I think this is among the most important information for me.

    And i am glad reading your article. But wanna remark on some general things, The web site style
    is ideal, the articles is really excellent : D. Good job, cheers

  12. This is very interesting, You are a very skilled blogger. I’ve joined your feed and look forward to seeking more of your magnificent post. Also, I have shared your site in my social networks!

Leave a Reply

Your email address will not be published. Required fields are marked *