Randomization inference for peer effects
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Publication:5208071
DOI10.1080/01621459.2018.1512863zbMATH Open1428.62134arXiv1807.01635OpenAlexW2963721525MaRDI QIDQ5208071FDOQ5208071
Authors: Xinran Li, Peng Ding, Qian Lin, Da-Wei Yang, Jun S. Liu 
Publication date: 15 January 2020
Published in: Journal of the American Statistical Association (Search for Journal in Brave)
Abstract: Many previous causal inference studies require no interference, that is, the potential outcomes of a unit do not depend on the treatments of other units. However, this no-interference assumption becomes unreasonable when a unit interacts with other units in the same group or cluster. In a motivating application, a university in China admits students through two channels: the college entrance exam (also known as Gaokao) and recommendation (often based on Olympiads in various subjects). The university randomly assigns students to dorms, each of which hosts four students. Students within the same dorm live together and have extensive interactions. Therefore, it is likely that peer effects exist and the no-interference assumption does not hold. It is important to understand peer effects, because they give useful guidance for future roommate assignment to improve the performance of students. We define peer effects using potential outcomes. We then propose a randomization-based inference framework to study peer effects with arbitrary numbers of peers and peer types. Our inferential procedure does not assume any parametric model on the outcome distribution. Our analysis gives useful practical guidance for policy makers of the university in China.
Full work available at URL: https://arxiv.org/abs/1807.01635
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causal inferenceinterferencespillover effectdesign-based inferencegrade point average (GPA)optimal treatment assignment
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