Mastering 'Metrics: The Path from Cause to Effect
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“Acts demolish their alternatives, that is the paradox.”
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As we explain in the chapters that follow, randomization isn’t the only way to generate such ceteris paribus comparisons, but most masters believe it’s the best.
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Regression-based causal inference is predicated on the assumption that when key observed variables have been made equal across treatment and control groups, selection bias from the things we can’t see is also mostly eliminated.