how we would be estimating this difference-in-difference effect using an interaction term specification with regression?

Expert Solution

Difference in differences is a statistical technique used in econometrics and quantitative research in the social sciences that attempts to mimic an experimental research design using observational .The difference-in-differences method is a quasi-experimental approach that compares the changes in outcomes over time between a population enrolled in a program (the treatment group) and a population that is not (the comparison group). It is a useful tool for data analysis.

How do you find the difference in difference?

General Method
The same observations are made in both groups over each time period. The data is analyzed by first calculating the difference in first and second time periods, and then subtracting the average gain (or difference) in the control group from the average gain (or difference) in the treatment group.

Rahul Sunny answered 2 years ago

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how we would be estimating this difference-in-difference effect using an interaction term specification with regression?

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