Marcelo coca perraillon discontinuity design form 2025

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Sharp RDD: Assignment or running variable completely determines treatment. A jump in the probability of treatment before and after cutoff point. Fuzzy RDD: Cutoff point increases the probability of treatment but doesnt completeley determines treatment.
For example, suppose the treatment is passing an exam, where a grade of 50% is required. In this case, this example is a valid regression discontinuity design so long as grades are somewhat random, due either to the randomness of grading or randomness of student performance.
The key identifying assumption for Regression Discontinuity Design (RDD) is the Continuity Assumption. This assumption states that in the absence of treatment, the expected outcome would continue along the same trend at the threshold.
Regression discontinuity is, in short, when assignment to a development program is made based on some sort of score (e.g., a poverty score or a test score), and we compare the people immediately above and below the score to each other, since they should be very similar except for (a) a few points on a test score and (b
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