Causal inference using regression-based statistical control: Confusion in Econometrics
Regression is a widely used econometric tool in research. In observational studies, based on a number of assumptions, regression-based statistical control methods attempt to analyze the causation between treatment and outcome by adding control variables. However, this approach may not produce reliab...
| Main Authors: | , |
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| Format: | Article |
| Language: | English |
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Sciendo
2023-03-01
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| Series: | Journal of Data and Information Science |
| Subjects: | |
| Online Access: | https://doi.org/10.2478/jdis-2023-0006 |
| _version_ | 1797848523886034944 |
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| author | Chao Fan Yu Guang |
| author_facet | Chao Fan Yu Guang |
| author_sort | Chao Fan |
| collection | DOAJ |
| description | Regression is a widely used econometric tool in research. In observational studies, based on a number of assumptions, regression-based statistical control methods attempt to analyze the causation between treatment and outcome by adding control variables. However, this approach may not produce reliable estimates of causal effects. In addition to the shortcomings of the method, this lack of confidence is mainly related to ambiguous formulations in econometrics, such as the definition of selection bias, selection of core control variables, and method of testing for robustness. Within the framework of the causal models, we clarify the assumption of causal inference using regression-based statistical controls, as described in econometrics, and discuss how to select core control variables to satisfy this assumption and conduct robustness tests for regression estimates. |
| first_indexed | 2024-04-09T18:28:58Z |
| format | Article |
| id | doaj.art-ac6ad7538677443ab86afbbe0a531261 |
| institution | Directory Open Access Journal |
| issn | 2543-683X |
| language | English |
| last_indexed | 2024-04-09T18:28:58Z |
| publishDate | 2023-03-01 |
| publisher | Sciendo |
| record_format | Article |
| series | Journal of Data and Information Science |
| spelling | doaj.art-ac6ad7538677443ab86afbbe0a5312612023-04-11T17:27:17ZengSciendoJournal of Data and Information Science2543-683X2023-03-0181212810.2478/jdis-2023-0006Causal inference using regression-based statistical control: Confusion in EconometricsChao Fan0Yu Guang1School of Management, Harbin Institute of Technology, Harbin150001, ChinaSchool of Management, Harbin Institute of Technology, Harbin150001, ChinaRegression is a widely used econometric tool in research. In observational studies, based on a number of assumptions, regression-based statistical control methods attempt to analyze the causation between treatment and outcome by adding control variables. However, this approach may not produce reliable estimates of causal effects. In addition to the shortcomings of the method, this lack of confidence is mainly related to ambiguous formulations in econometrics, such as the definition of selection bias, selection of core control variables, and method of testing for robustness. Within the framework of the causal models, we clarify the assumption of causal inference using regression-based statistical controls, as described in econometrics, and discuss how to select core control variables to satisfy this assumption and conduct robustness tests for regression estimates.https://doi.org/10.2478/jdis-2023-0006causal inferenceregressionobservational studieseconometricscausal model |
| spellingShingle | Chao Fan Yu Guang Causal inference using regression-based statistical control: Confusion in Econometrics Journal of Data and Information Science causal inference regression observational studies econometrics causal model |
| title | Causal inference using regression-based statistical control: Confusion in Econometrics |
| title_full | Causal inference using regression-based statistical control: Confusion in Econometrics |
| title_fullStr | Causal inference using regression-based statistical control: Confusion in Econometrics |
| title_full_unstemmed | Causal inference using regression-based statistical control: Confusion in Econometrics |
| title_short | Causal inference using regression-based statistical control: Confusion in Econometrics |
| title_sort | causal inference using regression based statistical control confusion in econometrics |
| topic | causal inference regression observational studies econometrics causal model |
| url | https://doi.org/10.2478/jdis-2023-0006 |
| work_keys_str_mv | AT chaofan causalinferenceusingregressionbasedstatisticalcontrolconfusionineconometrics AT yuguang causalinferenceusingregressionbasedstatisticalcontrolconfusionineconometrics |