Designs for estimating the treatment effect in networks with interference

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Publication:2196188



Abstract: In this paper we introduce new, easily implementable designs for drawing causal inference from randomized experiments on networks with interference. Inspired by the idea of matching in observational studies, we introduce the notion of considering a treatment assignment as a quasi-coloring" on a graph. Our idea of a perfect quasi-coloring strives to match every treated unit on a given network with a distinct control unit that has identical number of treated and control neighbors. For a wide range of interference functions encountered in applications, we show both by theory and simulations that the classical Neymanian estimator for the direct effect has desirable properties for our designs. This further extends to settings where homophily is present in addition to interference.


The authors construct and analyze new designs for estimating treatment effects from randomized experiments in networks with interference. The nodes of a network are considered as experimental units and the estimand of interest is the direct treatment effect. Typically for networks, the events that any two units receive treatment are not independent. The authors study the classical Neymanian estimator (\(Ne\)) that takes the difference between the mean of the outcome for treated nodes and the control nodes. For the \(Ne\) they focus on the design of treatment assignments. Conceptually, their main contribution is the idea of considering a treatment assignment as a ``quasi-coloring of a graph. A treatment assignment is a perfect quasi-coloring (\(pqc\)) if, for every treated node \(v\), there is a nontreated node \(v'\) that has the same number of treated and nontreated neighbors as that of \(v\). The notion of \(pqc\) is inspired by the notion of covariate balance in the context of matching in observational studies. For a \(pqc\), the \(Ne\) is unbiased. If \(pqc\) is not available, \(Ne\) becomes biased. The authors develop a new restricted randomization design that reduces bias and variance and provides easily implementable algorithms to construct such designs. Further, they derive upper bounds on the bias and variance of \(Ne\) and prove the asymptotic consistency of the \(Ne\) in both, dense and sparse asymptotic regimes. Finally, the authors demonstrate the efficacy of the proposed randomization scheme in a series of simulations.











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