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Article
Wild bootstrap for fuzzy regression discontinuity designs: obtaining robust bias-corrected confidence intervals
Economics Working Papers
  • Yang He, Freddie Mac
  • Otávio Bartalotti, Iowa State University
Publication Date
3-1-2019
Number
19007
Abstract

This paper develops a novel wild bootstrap procedure to construct robust bias- corrected valid confidence intervals (CIs) for fuzzy regression discontinuity designs, providing an intuitive alternative to existing analytical methods. The CIs generated by this procedure are valid under conditions similar to the standard analytical procedures used in the empirical literature. Simulations provide evidence that this new method is at least as accurate as the analytical corrections when applied to a variety of data generating processes featuring heteroskedasticity, endogeneity and clustering. Finally, we demonstrate its empirical relevance by revisiting Angrist and Lavy (1999) analysis of class size on student outcomes.

Version History

Original Release Date: March 2019

Disciplines
Departments
Department of Economics, Iowa State University
File Format
application/pdf
Length
30 pages
Citation Information
Yang He and Otávio Bartalotti. "Wild bootstrap for fuzzy regression discontinuity designs: obtaining robust bias-corrected confidence intervals" (2019)
Available at: http://works.bepress.com/otavio-bartalotti/12/