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In the Context of a Controlled Experiment, Consider the Simple β^1\hat \beta _ { 1 }

Question 13

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In the context of a controlled experiment, consider the simple linear regression formulation Yi = ?0 + ?1Xi + ui. Let the Yi be the outcome, Xi the treatment level when the treatment is binary, and ui contain all the additional determinants of the outcome. Then calling β^1\hat \beta _ { 1 } a differences estimator


A) makes sense since it is the difference between the sample average outcome of the treatment group and the sample average outcome of the control group.
B) and β^0\hat \beta _ { 0 } the level estimator is standard terminology in randomized controlled experiments.
C) does not make sense, since neither Y nor X are in differences.
D) is not quite accurate since it is actually the derivative of Y on X.

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