Basic Difference-in-Differences Method (DID) | Estimation Methods | Stata Tutorials Topic 42

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Stata Tutorials Topic 42: Basic Difference-in-Differences Method (DID) | Regression Analysis and Estimation Methods Using Stata

Hi, I am Bob. Today, we will discuss a popular identification strategy in evaluating policy effects. It is the difference-in-differences method. We use this technique to investigate whether a policy or a treatment has a significant causal effect on the outcome variable.

Please download the DID.dta dataset:

#Stata #DID #tutorial #DifferenceinDifferences #tabulate #regress #interactionterm #RegressionAnalysisandEstimationMethods #OLS #treatment #controlgroup #treatmentgroup #tutorial

The Stata commands in this video:
*DID using "tabulate"
tabulate treatment after, summarize(divorced) nofreq nost

display .16188525- .1064257
display .10526316- .06951027
display .05545955- .03575289

*DID using "regress"

*DID with additional controls

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Thank you prof for such a wonderful explaination

SyyedAliRazaKazmi.
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Thank you so much, very easy to follow and understand

mmtv-
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thank you. look forward to the staggered one tutorial.

yangyijane
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Could you please extend it to panel data with two-way fixed effects DD estimator. Thank you!

mmtv-
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Thank you for this explanation and insights into the DID. Please, are you able to share with me your Do File?

MichaelAdu-Gyamfi-mk
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Thank you so much for your video Dr. Bob. About the DID regression result you mentioned on the video, I have a small question is that since Treatment#After's P>|t| = 0.454 and it's considered not significant, so this variable can no longer be used to explain, is that correct? I would appreciate it if you could help me clarify it because I'm also working on DID regress model for my master's thesis and I'm so confused about these P>|t| value

bihuyen
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Thank you. May I ask what the regression model of this data is? And where is this data sourced from?

ngbaotu
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Do you think the regress command is appropriate for a categorical outcome variable like divorce before and after treatment?

yabelolake
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